Yep that increase in the shorts over the last 2 weeks from about...

Yep that increase in the shorts over the last 2 weeks from about [overall] 2.4m to 3m shares is interesting.
Just as the share price was threatening a recovery, sell volume picks up and the share-price falls again. Is it someone covering their existing short position further, someone expecting a nasty half year or someone wanting to keep the share price low for another reason.

Interesting also now that Oaktree has control of Quiksilver [and holds 19% of Billabong] and that initial talk of a Quiksilver / Billabong merger late last year.

A low share price certainly would be nice for launching a partial [or full] take-over offer of Billabong, and that half year profit warning in November last year sending the shareprice down and the continuing weakness could be a good opportunity to do so.

A few more things to note
- The two largest shareholders outside of Oaktree / Centrebridge have been buying, that is Gordon and Coastal. Oaktree and Centrebridge haven't, despite buying at considerably higher prices alot earlier on market.
- There's 3 million in Billabong shares currently shorted, don't those shorts have to be technically "borrowed" from someone - and they are few holders with that many shares to loan out.
- 1.5% of shares being shorted doesn't sound too much, but when you consider that 40% of the shares are owned by Oaktree/Centrebridge, 12% by Gordon and 5% by Coastal - it does have a greater impact.

Just some Sunday afternoon wild speculation ...

Seb