TGZ – Cash & in situ Reserves ValuationCheap Gold Mines Disappear as Buyers Splurge for Surging Bullion “With bullion off to its biggest rally to start a year in four decades -- aided by the U.K.’s vote to quit the EU -- mine buyers are paying higher premiums and the pace of deals is accelerating, data compiled by Bloomberg show. The value of reserves held by major producers has almost doubled since the third quarter of last year, according to Bloomberg Intelligence.”
“Even before the so-called Brexit vote, valuations were improving.
A gauge of 14 senior gold producers tracked by Bloomberg Intelligence has more than doubled this year. On average, their reserves were valued at $178.43* an ounce in the second quarter, the highest since the first quarter of 2013, data compiled by Bloomberg Intelligence show. In the third quarter last year, the average was $90.90.”
https://www.bloomberg.com/news/articles/2016-06-29/cheap-gold-mines-disappear-as-buyers-splurge-for-surging-bullion Gryphon Minerals Limited M&A Increases Teranga's proven and probable reserve base by 35% to
3,700,000 ounces (ASX:GRY – US:GPHYF)
The number of Teranga Shares (or Teranga CDIs) to be issued under the Arrangement will be approximately
68,000,000 – This will increase TGZ’s Shares Outstanding from 392,040,000 to
460,040,000. Inclusive of Gryphon's cash balance and the anti-dilution offering, Teranga's pro forma March 31, 2016 cash balance increases to approximately
$80 million https://www.terangagold.com/English/investors/news/newsreleasedetails/2016/Teranga-Gold-Announces-Agreement-to-Acquire-Gryphon-Minerals-in-All-Share-Transaction/default.aspx TGZ – Cash & in situ Reserves Valuation After Gryphon Merger 3,700,000 x $178.43 = $660,191,000 + $80,000,000 = $740,191,000
$740,191,000 / 460,040,000 =
$1.61 share*
*Based on current, in situ gold reserves valuation of $178.43 ounce.