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View Full Version : What's in store for Chesapeake after the shakeup?



cleller
6/11/2012, 05:01 PM
Luckily, the Thunder are the hottest topic in OKC these days, or the media might be running the Chesapeake (CHK) story into the ground. Not a shareholder, or anything, but this is a company that can really capture your attention.
Mostly I read about what's happening in the WSJ and online. Obviously, some of the board members have been replaced to satisfy some of the larger stockholders, lots of debt taken on, an IPO on a spin off of their oilfield services unit scrapped due to McClendon's overestimation of its value. I'm sure there are several other issues related to McClendon's loans still simmering.

I've also read that CHK could now be a takeover target. Specifically that Exxon Mobil might like to get ahold of CHK to increase their clout in the natural gas area.
I'm sure other names will be added to the list. This would be the main thing that would make me interested in CHK stock right now. The stock itself is risky, plus the overall shaky market. Timing is everything, eh?

When this all started hitting the fan, I just assumed McClendon would pull it out of the fire, and life would go on. Now it looks more and more like big changes might be in store. You think CHK will be still be a stand-alone company and back to business as usual in a few years? Whatever the outcome, I hope it works out for the best for all the people it employs; and hope it continues to expand in OKC.

Okla-homey
6/26/2012, 06:43 AM
More trouble for the troubled company. Allegations of bid-rigging.

http://www.tulsaworld.com/business/article.aspx?subjectid=51&articleid=20120625_51_0_NWYRuo610191

Frozen Sooner
6/26/2012, 06:54 AM
More trouble for the troubled company. Allegations of bid-rigging.

http://www.tulsaworld.com/business/article.aspx?subjectid=51&articleid=20120625_51_0_NWYRuo610191

That's pretty no bueno.

Hey, maybe that'll be the case where the Supreme Court can finally overturn per se for horizontal price fixing. It's about time.

KantoSooner
6/26/2012, 08:54 AM
If Sinopec wants them, they'll get them. They have unlimited money.

cleller
6/26/2012, 09:43 AM
Well, Aubrey bought up so much land to the east of OKC about 10 years ago that it greatly inflated prices out there, so maybe it will even itself out.

I've heard he really went to town around the Arcadia Lake, and Highway 66 east areas.

badger
6/26/2012, 10:30 AM
It'll probably be like SemGroup, which was run by another sports dude, ex-KU basketball player Tom Kivisto here in Tulsa.

Back in 2007, it was the 18th-largest private company. Then, it went bankrupt in 2008 because Kivisto made risky investments. More here. (http://en.wikipedia.org/wiki/SemGroup)

It still exists, but not as much as it used to. There's no longer talk of SemGroup having naming rights for the local baseball team's stadium, nor big money donations to KU athletics for more facilities.

TheHumanAlphabet
6/26/2012, 01:54 PM
More trouble for the troubled company. Allegations of bid-rigging.

http://www.tulsaworld.com/business/article.aspx?subjectid=51&articleid=20120625_51_0_NWYRuo610191

Could this start a RICO filing, at the least an SEC, perhaps a Foreign Corrupt Act investigation? Collusion with EnCana over land contracts... Not good

cleller
6/26/2012, 03:17 PM
I'm surprised this hasn't caused an even bigger dip in the stock. I'd told myself if it hit $15 again, I would buy some. Long term, or on the chance of a takeover/merger it is starting to feel like something that might head back up.

Sooner24
6/26/2012, 07:20 PM
I started to jump in at $14.04 but didn't. I think once natural gas prices rise this is easily a $25-$30 stock.