RE:Break up fee merlinboy wrote: So has anyone though if a new bidder comes in .What would the cost to Argonaut Gold Inc. .I think Franco is one of the push from behind . Even if Argonaut Gold Inc. was to mine gold would Franco get there cut . Is there a break up fee . No matter what Alamos will walk away with $ from the new company .or take shares in that company . Argonaut Gold Inc. and Young's team have paint them selfs intoa corner here .
If a new bidder came in it would make Alamos increase there offer by quite a bit if they have to as Magino is a steal for them even at 5 times the price offered. They are getting theMagino mill and resources. The mill is $1 billion and buying the property was another $400 or so million. What about all the money spent on years of exploration drilling etc?
Alamos is getting a mill and resources that cost $2 billion or more for aprox. $550 million Cdn. They will save aprox. $ 650 million Cdn. on synergies alone in buying Magino. Not to mention at todays gold prices there $550 million Cdn. investment will generate aprox. $325 million Cdn. per year for the next couple decades or more.
Alamos is not interested in getting the $20 million break fee or any other bread crumbs like that. They want Magino which for aprox. $550 million Cdn. Will save them aprox. $650 million in expenses.
The $6.5 billion Cdn. in pure profits Magino will generate for them in the next 20 years is FREE.
Thanks AR shareholders for suffering for years to give it all to these Fu@#kers for free.
This is what happens when you invest in a Mickey Mouse company like AR trying to build a Billion dollar mine with no money and some clapped out Mexican junk and a Nevada Gravel pit.
Everybody including me should take note.