Yeah! Quite a holding. Fir Tree / Titan Grove seems a pretty cool fund company. I guess they were a predominant owner of Atlas as converted to TTEN. There is strong tax benefit owning oil and gas holdings. I think the 80% oil/gas tax shelters should be disbanded and shifted to solar. If so, the U.S. would have a massive solar infrustructure boom, and we need it. Solar investment dollars would pour-in with equivalent solar tax sheltering investment opportunities. R&D would move solar technology to efficencies. Jobs created. Et al.
Interesting the 13D from Sept. 28th is an amendment. The share ownership at 1,071,123 is identical, yet the amended listing percentage of common share ownership has declined (as listed) from 21.4% to 19.8%.
I just calculated, and there was a simple accounting error from the outset of the initial Fir Tree 13D filing, as 1,071,123 of a total 5,416,667 Titan Energy shares is indeed as amended, just under and rounded up to 19.8%.
Seems the longer term strategy is further supported by the low number (5.4M) of shares issued, and maybe too per the low valuation. Thinking the low valuation likely may result in a rather healthy accounting write-off for Atlas Resource equity owners, for 2016, as a beneficial offset (or carry-over) to any profitable gains experienced elsewhere in the fund, and for other owners likewise.
If I'm correct here, and this Atlas-to-Titan transfer is in fact a tax basis accounting loss for Atlas Resource equity holders, then it seems moving forward from Sept.1st, 2016, TTEN low share price (or even higher) has little future accounting and tax consequence bearing in and for 2016, as long as shares are not sold or distributed by said owners. However, if TTEN equity ownership valuation in fact is computed and assessed as a tax event for 2016 tax purposes come the very end of the 2016 year (not sure how, if at all, or in fact relevant), then if there is any benefit with a loss write-down there would be benefit and motivation for benefit to maintain TTEN share price low for the remainder of 2016.
Definitely going to keep watching, Learning much here. And was able to acquire a small profit. Not hopeful dreams (like conversion at or near bond face), yet profit is profit.
Good luck.
