On valuation
On paying for M&A
On Scale
Anyone incurring debt has to hedge, as we saw in the VTLE deal. So they had paid off lower cost debt now incurring higher cost debt for M&A + plus bank wants them to hedge due to debt. The reason we buy these names is for the upside in oil, we have been ranting about the macro in oil for 2 years now, why do you want to give that away with crap hedges like CRK did last few years. He suggest using all stock and to scale up
https://www.bnnbloomberg.ca/video/takeover-by-adam-waterous-is-a-sweet-deal-for-pipestone-cole-smead~2775227