Spartan Delta Corp T.SDE

Bid/Ask

[retiredcf]

Currently 37 bids and 30 Asks at $3.00. I'm sure we'll be all over the place but as CIBC previously indicated, they estimated the value at around $2.30.  GLTA

[retiredcf]

Last post. Now 23 Bids and 72 Asks at $2.00 so no question it will be a very volatile day. GLTA

[TerribleEng]

CIBC was completely out to lunch on the $2.30 call. That would imply a $1.2B market cap which is completely nuts for the assets and the amount of production. 

[black4444]

The $2.30 value was referring to the value per SDE share, not per LGN share.   $2.30 x 173 SDE o/s is $398m on 484m LGN o/s or about $0.82 per LGN share. 

[Seppelt]

$2.30 is too little for SDE and way too high for LGN. Not sure why would someone watch those analysts and their moving targets, and feel it's so important to post it on this site. It's nothing but distraction. The excitement about LGN first day of trading will cool when investors realize it's heavily diluted for its size and those who exercised their warrants will start taking profits.

[TerribleEng]

That is a non-sensical way of looking at it.  At no point could a SDE shareholder ever get $2.30 of value from Logan. Every other analyst used a diluted value metric converted to pre-distribution pricing. Using a 173 O/S only makes sense if SDE shareholders owned 100% of LGN, they don't and the difference is the dilution I was harping about earlier on the financing. The most SDE

[TouchDown12]

So does that make the value 2/3 of the current price... or of 2.30? Let's say 1.50-1.60/share OR is the market (today) saying it is worth 2/3 of the current price of .80 cents/share? I read some twitter postings that the current value of a Logan share after all dilution and warrents is about 50-60cents/share. That seems to low like 1.50 seems to high. What is the true price discovery? It is

[PabloLafortune]

$1.70 x 173MM shares = $294M asset transferred valuation per the market.  Raise $81.5MM from 233MM shares = $375MM on 406MM shares. Plus add the 64MM 5 year warrants which will generate $22MM discount to $15MM = $390MM on 470MM shares = 0.83.

[TouchDown12]

Man - that is fine math work!! Thanks Pablo. Today was an interesting day for trading LNG as i bought some early AM trade around .79/cents share... bought some more at .85 cause of FOMO... average about .83... it ran up to .96... did some reading on stockhouse SDE and LNG of some of the more balanced posts... realised i really didn't know what the true value was - so now i am gambling... sold

[PabloLafortune]

My #'s are wrong actually + wrong fully diluted share count but result is similar $1.68 per SDE share is what the market is saying it was worth pre spin out/financing. In theory, SDE shareholders would own 89% of Logan rather than 60% fully diluted raising the same amount of money at $1.68 instead of $0.35. The other question is, how many private placement investors were SDE shareholders in

[TouchDown12]

Right or wrong Pablo... the market is pricing around .80 cents a share at the moment; with alot of warrents yet to be counted. Did they all subscribe to convert .35 per share? Will they all hold at .45-.50 cents in the money? Not sure. It'll take a little while to really price discover this transition. GLTA TD12