Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Forest Oil Corporation (NYSE: FST) jumped 13% today after its merger deal appeared to be back on.
So what: Yesterday, shares of Forest Oil fell after reports surfaced that its merger with Sabine Oil & Gas had come into question because of a delay in an $850 million loan, but today, the deal is back on. Sabine's CEO David Sambrooks said, "All parties remain fully committed to this transaction."
Now what: The issue appears to be on the bank level, where Barclays Plc is shopping financing to investors, but that doesn't impact the financing commitment they made. As I said yesterday, the delay wasn't worth investors panicking over, and some of the jitters should be gone today. Shares are nearly back to where they started the day yesterday, and unless something major changes, I'd expect the merger to go through as planned.
