“POT!” were the echoing words of Andy “Raw” Kibbens as he ran to each cubicle near his trading desk before the opening bell this morning screaming to his coworkers in delight. Potash Corp of Saskatchewan received a takeover offer from BHP Billiton at $130 which was immediately declined by the company. Potash Corp shares shot up past $147 CAD on the news as the shorts were forced to cover. The TSX and even the S&P 500 were taken much higher today as investors ploughed their Potash profits back into the market.
"What is happening on the Potash side is good for the economy," Luc Girard, portfolio manager at Desjardins Securities in Montreal, told Bloomberg. "On the TSX, every company except for telecommunications or the bank side . . . are potential takeover targets."
“Finally a takeover offer.” Said Kibbens, co-CEO of The Markets Are Open (TMAO), as he locked in a 53% gain within just weeks of buying the stock for his hedge fund. “The stock is way overvalued now,” said Allan Edwards, also co-CEO as he sold the remainder of his Potash shares for his clients and TMAO. “I’m glad we’re out of that one,” he continued “I can buy some real POT now!” He joked. Agriculture stocks were on fire today as the hostile bidding lifted the entire sector.
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