RE:New Found Gold Takes Out Labrador GoldI just looked quickly at this today.... it seems like LAB had about probably$5 million cash. I'm not sure about their debt. didn't look and don't care to at the moment. The offer was for $20 million in NFG shares. So the offer which management will vote for is less than what the market cap was yesterday.. I hope that if I own SGNL when and if they ever get an offer, which is supported by management, that it is higher than the current market cap and not less.
And what about those NFG shares. It doesn't say how they will be distributed. It doesn't sound like an owner will get .07 or whatever of an NFG share for every share owned of LAB. It sounds like the company will receive and own $20 million worth of NFG shares.
I didn't look closely, so could be wrong on that. But it doesn't sound like a buyout in terms of current shareholders of LAB will receive a certain dollar amount or certain amount of shares in NFG.