Post by
apapas1973 on Jan 12, 2022 5:59pm
The importance of running a tight ship.
By now I'm sure everyone is aware of the Tesla/Talon (TLO) deal. I used to own TLO. TLO has seen a roughly 20% increase in price. And I'm sure there will be more increases in the future. However Tlo needs to come up with more capital to purchase the remainder 9% of their project as part of this deal and Tesla is expecting a carbon neutral mine. TLO "is hoping" the technology their testing will absorb the CO2. If not, I'll tell you Tesla will say bye bye. They can't be associated with them. If this deal was with CNC, you would have seen a 50% increase minimum. Probably even a double to start. The reason being is, for one, Tlo can only option up to 60% of their project and more importantly they have a huge share count. You need to own a toooonnn of shares to benefit from any rewards. Dilution is very important aspect to keep in line. As bloody frustrating as CNC is at times, I have to give Mark credit with the way he's structuring this. Not only does he not want to give away large chunks of the company, but at least so far, he's keeping the share count low. Actually really low. This makes it virtually impossible for any hostile takeovers and any price appreciation from positive news will be massive. Not only that but as we're all aware, Mark himself owns a ton of shares. It wouldn't even surprise me if Tesla already approached CNC but possibly they wanted too much. I think this will be a sticking point with any deals that we make. If that's what Mark is doing I hope he bends when he needs to. We don't want to make it completely impossible to make the right deal. Just my opinion... GLTA