Metanor Resources MEAOD

re--consolidation

[psych01]

Gold--I was being sarcastic.  I know, you say that's not like me, but there you go.  I'm trying to cut down on it but it's hard after a lifetime of it.  Anyway, rollbacks usually suck.  Reading the entire NR I would say that they're putting the 10-1 ratio out there hoping shareholders will agree to 5-1.  They need more than 50% but they will achieve the rollback if they want it.  They will just outline what might be down the pike if they don't make things better for financiers.  It will happen.  Wonder if anyone has ever seen a rollback turn out to be a good thing.  I haven't  but I know some of you know a lot more than I do.  IMO

[LiTeOn1981]

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[trebuh16]

 the Share consolidation Is done to attract A buyer. The new share Will be Valued at 0.70 with 52 million Shares  Fully diluted. A 60-65% premium Will Value the company At $65 million + the debenture = $75 millions. Osk Will offer 15 millions Shares @ $5.00 to get it. Great deal. Growing reserves and cashflow. Or MTO Will do A PP of 25 millions Shares  @ 1.00 per share for the

[Joseph_K]

.70, LOL.  With weeks of consolidation talk in front of the vote, I doubt it. Plus, they should have made it a 20:1 or 25:1 rollback imho.   Anything under a buck is still a penny stock to a lot of investors and they won't touch it.

[mstettler]

I tend to agree here - even at today's price it's a .55 stock. From the news release:  reimbursement of the convertible debentures ($9M) in the short term will tap into our available cash flow. With supplementary cash, the Corporation will be able to advance its other projects immediately. So basically a financing is coming very soon.

[JRaffles]

A financing is unlikely to come before the March SR proposed in order to approave a 10:1 rollback, otherwise a financing will be less atractive to investors, in the knowledge that their new shares will be immently rolled back. Old shareholders will most likely be resigned to the fact that they have already lost up to 90% of their original investment and the company is in a catch 22 position, in

[LiTeOn1981]

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[goldminer01]

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[goldminer01]

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[goldminer01]

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[mstettler]

The obvious reason for the rollback is to pursue another PP.  At the current SP they would never be able to raise enough to cover the debenture and further drilling without once again massively diluting. The only problem is that often a share consolidation results in the SP drifting lower.  The reason for this has got to do with all the people that view a .05 share price as a bargain

[pdcon1]

rmx had a rollback  at 1.40  now trading at 1.90  

[LiTeOn1981]

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[tsoprano1]

Trebuh, it is more likely that the shares will be shorted down to .25 range where a 50 mil share PP will be done. The PP people are too shrewd to buy this at a buck. They will need to sell almost all that they plan on buying to ensure getting their principle back. Look at past couple PPs. This will never hit a buck. Will be shorted almost from the time of the split. They are friends of the con men

[tsoprano1]

Psych01, I have seen a reverse or two do good. It came off that way because things improved and there was very few shares on float. Plus management was in buying. However, here we have a trend. Management will not be buying. And things really are not getting better. What you can expect is more fluff that the PP buyers can short into. I watched as this happened twice before and I was too stupid to