Every stock that I have that suddenly gets a notice from Credit S or UBS or any of the others and includes large volumes of stocks that are borrowed I stop buying.
Why they would do it is easy - Its a share that cannot absorb 500,000 shares without it falling the buyers will get spooked - I wont be adding I have enough and in fact I had to sell a few today (those I purchased last week @ 62c for a 1c profit) as my business partner wants to have cash to buy cheaply later and thus wants all the funds we had set aside to purchase in cash. We don't know how low it could go and even whether they will get enough shares to cover the short with these guys playing their games. However one has to assume they have far more ammunition than I have and thus having a bit on the sidelines right now is a good play.
I can understand that the holder feels it's safe - PGC don't need to do any CR's and the short term share price wont change anything in their process - They have a lot on their plate but its going well. I just don't know who has the share holdings to farm out these numbers of shares and whether it doesn't detract from your asset after these guys have destroyed value.
This isn't in my basket of short term plays so its really just going to irritate me.
The negative is I (as Peterdoobes has said) hate this and would never - I repeat NEVER lend my shares out to this process - there are better things in life than making money lending shares so that others can see their assets decline via a ( my view) manipulation.
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