Re North American Palladium, those interested may wish to consider the newly issued warrant, available on the Toronto Stock Exchange, called PDL-WTA.
PDL is the same stock as the U.S. Amex stock PAL. It is dual traded on the amex and the toronto. The warrants are only traded on the toronto at present.
PDL management told me they have no plans to list this warrant on the Amex.
Each warrant entitles the owner to purchase a share of PDL at a strike price of c$4.25 per share until Sept. 30, 2011. PDL is currently selling for around c$3.00, so the warrrants have no intrinsic value, only speculative value, like an out-of-the-money call option.
The cusip on the new "A" warrants is 6569121128.
Once the shares close at a 20-day average of c$5.75, the company can accelerate the expiration date.
If you are stateside and wish to buy, make sure they are not selling you the OLD PAL warrant which is on the amex and trades for seven to 11 cents. that one expires in december of this year and is likely to expire worthless.
You want the "A" warrant, which has traded in price from c40 cents to c63 cents and is currently c60 cents.
