Alpha Minerals Inc ESOFD

DILUTION

[patientriskyinvestor]

Why are they doing a private placement NOW?  It makes no sense at all.  With the underwriter allottment you are talkiing about almost 8.625 mill shares, or just over 5% of current FCU.  The participants will not get any spinco shares and if the merger is NOT approved get their money back with interest.  There is no need for extra cash at this time, unless Dev has wasted a ton on other properties b/c the joint cash position of the merged entity is more than adequate to get through the next drill season and in fact probably thru the summer and a fall and winter as well.  My guess is this is a ploy by Dev to get voting shares into the hands of his cronies so that once the merger goes thru, the former AMW shareholder's don't end up with control.  My guess, and I hope I am wrong, is he has lined up a bunch of his cronies to buy the shares since he doesn't want former AMW shareholder's stopping him from selling the combined company as fast as possible in Jan.  AMW management and shareholders have generally been a much more patient group of investor's and want to see the results of this winter's drilling and a possible recovery in the uranium market before any hasty attempt to sell PLS.  When the drill program is proving $2-3 mill/ hole of uranium at a cost of $150,000 a hole, why would you sell in a hurry.  I am deeply suspicious of the tiing of this placement and the motives for it.  I am looking forward to reading the definitive letter of intent and the merger agreement in fine detail and wondering what other "gems" the agreement contemplates.  I am deeply suspicious of the motive given Dev's recent media comments and his reputation and propensity to look for the "next deal'.