The Speculator

23 February 2011

Blame the weather for raining on Broken Hill Prospecting’s (BPL) parade as it listed on the stock exchange on Thursday, February 17. After raising $4.47 million from an initial public offering of a hoped-for 25 million shares at 20c each, the stock fell away in its first two days of trading to a low of 15.5c, and closed last week at 17c on a turnover of 3.34 million shares. Riding to the rescue came executive director and renown merchant banker Geoff Hill, who charged into the market and bought almost 20% of the 3.34 million shares traded at an average price of about 15.7c. That equates to around 650,000 shares for $112,294 in cash. On Monday and Tuesday of this week another 636,000 shares were dumped to see the newly listed stock close yesterday 4c down on the 20c offer price. That’s when we dove in to buy 20,000 shares at 16c for our nominal portfolio.

Eureka Report