Dominion Warns Investors to Reject “Mini-Tender” by TRC Capital

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just say noDominion Resources, a midstream (pipeline) company and energy producer with major operations in the Appalachian region is warning investors about a parasitic play for their stocks from a company called TRC Capital Corporation. TRC is floating what's called a "mini-tender" in which they attempt to buy up to 5% of a company's stock. Why only up to 5%? Because over 5% and certain Securities and Exchange Commission rules kick in to protect/alert investors. Under that limit and there's far more wiggle room. What does TRC plan to do with the Dominion stock they buy? Their modus operandi is to purchase stock for a price below market value now, or what they think will be the market value in the near future. They lock it up, wait until the price rises, and then sell it at the higher price. They prey on people's fears that stock prices will eminently crash, profiting from those fears, or they leverage investor ignorance. Sleazy? You bet. Illegal? Unfortunately, no. That's why Dominion is warning shareholders to "just say no" to TRC's below-market offer...

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