“A wave of M&A activity among the Canadian energy trusts has made these stocks attractive again,” Jim Cramer said on Wednesday’s “Mad Money” TV show. He said that Baytex Energy Trust (USA)(NYSE:BTE) is the next most likely acquisition target due to its 5% dividend yield and its potential production growth.  Cramer had hated this group of companies after a change in law meant their dividends would lose favorable tax status, starting in 2011. However, two recent takeovers – Korea National Oil buying Harvest Energy Trust and Denbury Resources Inc. (NYSE:DNR) buying Encore Acquisition Company (NYSE:EAC) – at high premiums has forced Cramer to change his tune. Baytex has the least exposure to natural gas and the most exposure to crude oil, which Cramer called a good thing because most Canadian firms can’t compete with U.S. natural gas companies with the current weak dollar. He mentioned the company is now using a “stream-injection system” to extract more heavy oil from its reserves. This new technique has already yielded big results with one well’s output shooting up to 900 barrels a day from just 70. Baytex reported a solid quarter on Nov. 10, at 83 cents a share of cash flow, which was ahead of Wall Street estimates. Cramer also mentioned that the balance sheet is reasonably clean, and with the stock up 187% year-to-date, there’s still has more room to run. “I don’t want you buying crude,” Cramer said. “I want you to buy Baytex.” Join the fastest growing community of small cap investors at Stockhideout.com