Purchased Mercury Air Group

After having a limit order in for over a week, I was able to buy 300 shares of Mercury Air Group (MAX) today for my son’s Coverdell Education Saving Account (ESA). My original order was for 375 shares with a limit of $3.40. I could have bought up to 500 shares to qualify for this going private transaction cash tender offer of $4.00 per share, but I don’t currently have enough cash in this account.

After waiting a week, I adjusted my order to $3.45. Today the stock dropped down to $3.42 but my order still didn’t get filled. I couldn’t figure out why at first, but then I realized it might be because of my odd lot order of 375 shares. I adjusted my order to only 300 shares and that did the trick. My stock order was executed for 300 shares of Mercury Air Group at $3.45 a share.

As you can see on the current going private transactions list, the vote date for this proposed offer is on September 16, 2005. I was able to purchase MAX for just under 16% of cash out price of $4.00. If all goes well, I plan on making about $155 on this transaction.

9 thoughts on “Purchased Mercury Air Group

  • August 23, 2005 at 10:53 pm
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    I looked very hard at this one. The 22 Mil. debt and the top man making 1.5 mil a year was kind of worrysome.

  • August 25, 2005 at 3:01 pm
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    George, thanks for sharing the potential issues for the odd lot order. I also learned a lesson today on trading odd lots.

    As RFCG went up on the good news of their clinical trials I decided I may want to take profit now instead of waiting for the $0.35 cash payout. I put a limit order to sell my 1990 shares at $0.33. When I checked the price after coming back from a meeting, the bid/ask was 0.35/0.40 but my order was not filled. That’s when I rememberd your post here about the odd lots. I changed my order to sell 1900 shares at $0.35, it got filled instantly. Now I am holding only 90 shares for the cash payout. In this case, not quite understanding how odd lot works actually saved me some mony.

  • September 17, 2005 at 8:28 am
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    Thanks for the heads up Mat on the consummation of the reverse split for Mercury Air Group.

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