MagIndustries Corp MAAFF

RE: RE: RE: RE: RE: Tsc warrants factitious rights

[Ethanbrodie]

I think the main reason why tsc was given these free warrants was because they have alot of 'Pull" in the industry. If they do not do the deal, they at least have a vested interest that a deal will get done and may help magindustries unofficially to line them up with a partner. A partner with mag might also be more interested if tsc has a vested stake in the company.
BMO also has a renewed vested interest. Not only if they secure a deal with complant, but also any other entity, either a buyout or a jv. I don't understand why people on here assume that it is a buyout that they are after. I think if its at the right price and they cannot find someone who is interested in a jv, they will sell it. But it is definately not their first line of choice. With that all of their potash properties would most likely be part of the deal. This is why bmo would get .50 c options because they think that a buyout would be higher than .50. more like .70-1.00 if its for everything. You have to remember that if someone buys them out with all of the potash plays in congo, there already has been major investment and inroads already completed. They know how much potash there is, and I think they would get 1.00 or more. If a company only developed their first property, they would be making more than  they bought us out only a few years out, while paying of the debt of the construction. they still would have 20years of solid cash flow, and then its on to the other free properties. 400 -500 mil for everything is to me an amazing deal considering what is there with all of those properties and what work has already been done. (not to mention it being a very low cost production facility). There could be a bidding war, especially as we will see potash prices go up and up in the near future. (spot potash prices have went up considerably in the last year and poised to do about the same this year, and our company has been demolished in value because of management.).If there is a sale, management is no longer in the picture, and then its all about what is there and how much money are they going to make, which the potential is huge. 
Tsc, BMO and Mag want a bidding war. It will benefit them all. get ready for some fun! (I HOPE) but i still believe that mag also would like to jv because long term, it will be more of a benefit and they can most likely keep a job.