PetroMagdalena Energy Corp. (CVE:PMD
) (PINK:ALNJF) stock price inched a little higher as the company get one more step closer to actual sale of business.
PMD gained 0.64%on Tuesday under extraordinary trading volume of 2.4 million, which was more than 3 times heavier than normal. Considering previous similar price twitches it is very likely the stock will drop in price over the next trading session.
Traders got exited after PetroMagdalena announced to have received an interim order from the Supreme Court of British Columbia which allows the holders of the company's common shares and warrants to call a special meeting. The meeting is necessary if the shareholders want to approve a plan of arrangement that was initially announced on June 5, 2012.
The meeting is scheduled on July 23, 2012. If the arrangement will get approved by the shareholders PetroMagdalena will return to court and seek a final implementation.
The stock price didn't move much because the company is being acquired by Pacific Rubiales Energy Corp. and their price has been pretty much settled by the arrangement already. The buying price of C$1.60 per share was established during an initial proposal and on the open market it will remain very close to this valuation, despite the heavy volumes, until the deal is close.