Hey all,

I responded to a guys post on IV last night and it got me thinking. It was about SPE and their Initial Public Offering (IPO) which is suppose to happen sometime in the first quarter of this year.

Which company is it better to be holding? I guess it really depends on a lot of things like the number of shares outstanding in a company? The Prospects or operations that the company has going? The board of dircetors (BOD) also play a big role in how a company can do. A bad CEO can run a good company into the ground. What their cash to debt ratio is? How much money they have on hand.

As it stands right now Canadian Imperial has the GPS which is where all their hopes and dreams are. Let be honest the Alberta play is a lot smaller and I wouldn't think enough to keep us a float if the GPS doesn't work out. So realistically its the GPS or bust for CIVC. SPE is the operator of exploration on the west coast for CIVC. They also have some smaller operations I beleive within Atlantic canada (don't quote me on that). So SPE is really hoping that the GPS works out as well.

SPE holds 62% ownership of the GPS while CQV has 38%. This percentage wasn't always this way until PDIP switched land with CIVC...which increased both parties by the same amount.

In my opinion SPE should be by far the better company to be holding if and when this thing takes off. It really depends on how many shares they offer in their IPO and what the price of those shares are. Lets be honest they most likely won't issue anymore then 100 million. But what will the price be???? That will be the determining factor.

Does anyone have any idea on how a stock price is determined when it comes to an IPO?? I have no idea and wouldn't even be able to make a good guess.

Anyone with some thoughts on how this will play out????

Later