Does MM like Paladin Energy (PDN) at 79c?

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Question asked 08/04/2022

Does MM like Paladin Energy (PDN) at 79c?

The PDN (PALADIN ENERGY) Share Purchase Program is offering shares @$.72 each, but the share price is still at around $.79 today. Normally the share price will fall to around the offer price of $.72, after the SPP is announced. I am a holder of PDN Shares, should I sell some shares to take profits, and then get them back through the SPP? Or should I even buy more PDN shares on the market as the momentum of PDN is strong?

Answer

Hi Peter,

A reminder at Market Matters we provide general advice only, not personal advice around what a particular investor should do, that is for you to decide.

We wouldn’t agree that a stock always falls down to the raise price, it all comes down to the demand for the stock in the first place. When a capital raise is significantly oversubscribed as was the case for PDN the stock usually stays above the raise price. MM is looking for areas to re-enter PDN, we had a standing order in at 73c however that is now a long way below market. PDN looks a very attractive buy at 72c in the SPP.

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Paladin Energy (PDN)

LAST UPDATED 08/04/2022 16:31

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