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The email I got this A.M. from ABSC said they were doing a private placement of 1.8 Mil shares @ $42/share. This dilutes our shares by about 10.5%. So if our stock price was 48 (as it was at open), If nothing else changed, it theoretically should be about 44. What changed? The fact that a private investment firm was willing to buy @ $42. This sets a very solid support level that was heretofore nonexistant. So all those holders of shares bought substantially below that price now feel ALOT more comfortable holding them tightly to their chests, immediately creating supply side sortages leading to the premium prices paid today. Add to that the "Wisdom" of Alex Brown (where were they when the stock was $4 or $14) stating that the stock would move to $88, and we have the makings of a great BM. One wonders about the relationship of Alex Brown to whomever bought the new share placement, and indeed to ABSC itself. It will be interesting to watch what happens to those 1.8 Mil shares as we approach $88--or, maybe it won't be.
Gmac1
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