Building a sizeable position - Portfolio allocation, page-14

On the large parcel of Shares in PAR that went through aftermarket.

It actually says it was a crossed trade (XT). Same broker buy and sell same amount. So that's what it would have been.

Although hard to know exactly what/who is behind it, its usually one client buying (or selling), but can be account to account as well (like one trust account to another). For example I could cross an amount from an account in my name to my wife's name, that would qualify as a crossed trade if held with same broker.

On occasion I have been approached by a broker to see if I was interested in selling a certain stock because they had a client looking to buy a 'line' as they term it. I am guess this is what it was because of the size of the transaction. A 'line' is asked for, usually, when a client wants to secure a large parcel of shares without hitting (moving) the market, because the amount (volume) would have an impact on the SP on the day. Why would they be concerned about that? They want a good fill, and they want the stock for the right reasons, they are not buying to see the SP move on the day. This IMHO is a good sign for PAR.

When a client wants to transact a large amount of shares, that would be difficult to accumulate (because its a multiple of average daily volume) during normal market hours, a broker will quite often secure a 'line' that can be transacted discreetly without moving the market. The 'line' can come from 1,2, or many individual shareholders. I know this happens because I have been a party to such transactions in other shares. Its quite common. The 'line' is secured, and it is booked after market close, usually at the closing price.

IMHO this is a positive. Looks to me that someone wanted to buy circa 1 million shares, and did it very professionally by securing a line and not hitting the market. Smart.

Will be interesting to see if any of the people who sold as part of the 'line', today buy back. This often happens.

As always. DYOR.