Thursday, 24 May 2007

AeroMechanical Caught Hugh Cleland's Pocketbook

Trading in AeroMechancial shares was heavy May 24th after Toronto-based fund manager Hugh Cleland appeared on BNN's Market Call and said he bought into AeroMechanical because it was the right time to jump in.

Shares traded as low as $0.50 before Cleland's midday interview but closed the day at $0.60 on volume of over 1.5 million. Average trading volume for the last three months has been around 200,000 shares per day.

Cleland said he has been watching this Calgary-based aerospace company for roughly two years and with some recent contracts, and solid growth, he saw AeroMechancial and Absolute Software in the same league - as poster boys for companies with sustainable, competitive advantages over all others.

Cleland, manager since inception of the $99.9-million Northern Rivers Innovation Fund LP, said he recently purchased a large number of AeroMechanical shares because, "we wanted to get more than just a little toe hold." He also said that if his confidence is borne out in the near term he would also be, "adding at higher prices, gladly."

To watch the interview click here and scroll down to 12.30 p.m. and roll the Internet feed forward to the 36 minute mark.