Is This A Buy Yet??????????? @115p

A small bounce today up 12%

There is a chance Paragon will totally collapse.

"If the government had a bad week last week, the banking and property world is suffering more. Northern Rock's shares fell to an all-time low, new mortgages dropped to a 10-year low, Paragon, a company specialising in buy-to-lets, said it might have to suspend new lending because of the credit squeeze as its shares halved, and Barclays announced more than 1bn of loan write-offs from its American lending."

http://politics.guardian.co.uk/columnist/story/0,,2216776,00.html

From the Sunday Times
http://business.timesonline.co.uk/tol/business/industry_sectors/banking_and_finance/article2935671.ece

Paragon backers pledge

FOUR top investors in buy-to-let mortgage lender Paragon have vowed to provide a cash injection to fend off the threat of it having to launch a rights issue in three months.

Paragon said last week that it was struggling to refinance loans that fall due in February. It has been been in talks with its lenders since August about replacing a working-capital loan that is due to be repaid. The company had persuaded its adviser UBS to line up a rights issue in case a new loan could not be secured on reasonable terms.

But now, Standard Life, Blackrock, M&G and Schroders which between them hold more than 23% of Paragon have told Paragons board that they are prepared to back a funding exercise to raise the full 280m that the mortgage lender requires.

certainly an interesting punt, but can't weight up quite how risky

Keep an eye on it in the morning and see what happens. If I see buyers lining up I might go for it. Otherwise: RIO is the place to be I reckon.

I went in at 1.3395 but purchase not showing yet. Hoping for a quick profit and exit today.

i have just gone long too, albeit at 141.5 ..... i'll watch carefully, but i really don't think this company will go belly up, and sp could (easily?) get close to 200 (see above) before running out of puff .... whether or not i shall choose to stay in that long remains to be seen.

I decided on RIO this morning (not as a destination, though that would be fun!). Meanwhile, I think PAG is one to watch v carefully. I agree it could bounce back to anywhere around 200-250p quite soon. Good luck!

I have just bount 5000 at 1.30 and will wait to see how they go.

Janet, how do you bount, lol.

what does the word bount mean?

I dont know, you used it in post 23.

sorry I meant bought, my mistake - sorry

I think a long is a good choice with todays news that PAG are looking to raise 140m with the sale of car loan notes, I may well also go long. First though I want to see how much discount they have to give to raise 140m on loan notes, as this may cause the sp to drop further, considering the recent crunch I'm expecting discounts not to be favourable.

I agree, it smacks of a Fire-Sale - not full blown, with sirens blaring - but a nasty whiff of smoke in the air.
You can be sure the sale will not realise the true value, so this means [PAG]-Execs have destroyed value, but then the sp has been shouting this msg for some time.
I suspect this will have further to dip.

Look at the 2-year graph and compare with Jarvis (rail)[JRVS] - oddly they are almost exactly at the finish (ie "now"), having started at a normalised equal, not that there is any connection, just an investor's lament....that an Outright Rogue stock is no worse than........

Today could be the start of another slide...122p now.

DMA 50 and below, still on a downwards trend. I'd prefer a fund raiser such as rights issue to existing holders only to raise capital first, afterwards then maybe look to sell loan notes... And he's me, don't even own any stock but finding this interesting. Paragons board are no strangers to adding value so why not now..

paragon doing well today are you still in there cynic and do you still think there is a good way to go?