All the talk about fracking creating problems for drinking water has led media to discuss how NatGas should be banned. Although the more interesting talk should be about companies that can work on solving these problems. Heckmann is one of those few companies that gains from more regulation. Finally it seems that Heckmann is starting to get some press due to its business model. Buyout rumors are just that, rumors. Although it is good to see media finally discussing these business models as ones that will benefit from more regulation.
Bloomberg discusses how oil service companies might be eyeing Heckmann as a buyout candidate. I have always seen Heckmann as a company that will likely get bought out. Although it is too early for that to happen. I think you want Heckmann to still execute and show how its business model is superior to other companies. I think 2012 will be the big year for this. Also, at current prices it is unlikely Richard Heckmann sells. Remember he is 68 and this is likely his last major ‘masterpiece’.
One response to “HEK: Buyout candidate”
Poseidon is the other company discussed in that article which is very interesting.
NOTE: I have a long position in Poseidon. My comment is not intended to promote the stock or provide any advice. You must do your own work.