OTCQX:FSXLF - Post by User
Comment by
idleweisson Aug 18, 2020 5:52am
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Post# 31421412
RE:Leviathan - Trading Restrictions
RE:Leviathan - Trading RestrictionsThere are a couple of points to note about the spinoff:
1. First thing that happens is the "Record Date" meeting where the board of directors decide who is entitled to vote on the spinoff.
2. The second meeting is the vote ("Meeting Date")
3. Then we have the "Effective Date" by which date you have to own the shares if you want to receive the shares in Leviathan Gold.
The effective date will be announced after September 15 because options and warrants from the last financing cannot trade until that date and the option and warrant holders will be given the opporturnity to convert the options and warrants into shares of fsx before the effective date. I am just guessing this so correct me if you think I am wrong.
For the first four months (after the spinout of Leviathan Gold shares) there will be NO trading in the shares. After the first four months, trading will be illiquid because only 25% of the shares will be trading. It could also be volatile. After 8 months the trading would pick up slightly and so on. The shares that are issued for the financing (let's assume 10 million shares) could be shorted and since the regular trading will be sparse this could make it very volatile for the first four months. Just my thoughts.