Alio Gold Inc. T.ALO

wt. consolidation

[screwtrucker1]

https://aliogold.com/_resources/pdfs/Alio-Gold-Analyst-Day-160517-website.pdf 
   according to the above presentation the warrants were also done. There are now only 1 million wts for the $3.50 strike price and i.82 million wts. for the $7.00 strike price. When I checked into it , when exercised it will take 10 warrants to purchase 1  share of the common stock . I got the same information from td and the aliogold.

[thedave2006]

as part of a financing there were 36400000 units of whcih included a share and 1/2 warrant, with each full warrant exerciseable at 0.70 until may 30 2018.  therefore there should be 18200000 warrant exerciseable at 0.70 if the then TMM shares can hit 0.70 of which last close before today was 0.65 for TMM and 0.13 for TMM.WT. if exersizable 18.2M warrants at 0.70 = 12.74M dollars. 

[profittaker1]

I emailed mgmt about this a couple days ago. The warrants now can be exercised for 1/10th of a share each at $7 per share. Effectively nothing changes. Eg. 10000 warrants x $.7/share = $7000 to get 10000 shares of the old company. Now 10000 warrants x $7/0.1 shares = $7000 to get 1000 shares of the new company post consolidation. It's exactly the same terms but 1/10th as many shares. That'

[profittaker1]

Don't think I expressed that properly mathematically. Pre-consolidation: 10000 warrants x 1 share/1 warrant x $0.70/share = $7000 (for 10000 pre-consolidation shares). Post-consolidation: 10000 warrants x 1 share/10 warrants x $7/share = $7000 (for 1000 post-consolidation shares). That's the correct formula to describe the change...

[MisterB]

Thanks for the clarification on the warrants. It was a surprise to see them not consolidated, but I assumed the case was what you explained (needing 10wt to exercise 1 share). As for TD, I had fat fingers, they upgraded TMM to $1.15 May 12th, so post-conso would be $11.50 rather than $12.50.  That said, I wonder if the IRR and NPV of the new PFS will have any impact. Doubt it. Impact