RE:RE:Well initially the market hates the dealkkkrrrr wrote:
the capex for the project looks really cheap... 3-4 million Oz of gold , low AISC, good land package and exploration upside ... and all this for less that 100 million$ .. good deal in my opinion
Market disagrees with you and the management. Stock closes down 7% today, close to the low of the day. Other gold miners are up today, including GDXJ. EDV up 4% !!!!
Looks like TGZ is going back to being the Pariah of the gold miners again. I see limited potential for this stock till 2019. It will be hard for this to go over 1.19 till 2019 as that is the price they paid for the takeover. They need to prove to the market that 1.19 was a good price to pay for this deal. That will take 2019 or later, IMO this is dead money and fund flows today prove that money left TGZ and went to other gold miners.
I sold all my position today and will not look at this for another 2 years. All the proceeds from here to EDV now.
Good Luck all.