What is happening with Fortress Paper? Stock surged 15% in the last 2 days without any news release or important information coming out.
I could see 2 catalysts:
- An analyst changed it’s target price based on Dissolving Pulp price. DP market prices are really hard to find or follow. They were around 1600-1800$ in November and 1100$ in December. What they are now, it is anybody’s guess. You may read analyst analysis here.
- It has been over a year now that we heard rumours in Quebec that Fortress was in negociation with Lebel to buy a big pulp plant out there. This week, new rumours were heard regarding head-hunters calling job-searchers for management opportunity in the “pulp” business in Lebel. The deal may be close to completion.
Disclosure : Authors is Long FTP.