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Gold Canyon Resources Inc V.GCU



TSXV:GCU - Post by User

Comment by Geospoton Mar 01, 2013 1:41pm
167 Views
Post# 21063499

RE: RE: RE: Price

RE: RE: RE: Price

I would think that in a situation like this, where the sp has been cratered by redemptions forcing a fund into desperation selling to raise cash, that conventional notions about premiums go out the window. Even a good discount to a reasonable per oz in the ground price could make an acquirer look like a hero to his shareholders as this is still being considered one of the premium properties in Canada. However, management still seems very confident in the PEA and a rapid return of valuation so I think they woud resist a lowbal offer, and I'm no expert in how a producer would set up a hostile. Really hard to figure any of this out rationally at the moment. For example, if Mitsui and JOCMEG proceed with the REEs, and if as has been stated publicly there is "significant" value there, that would need to be structured. But clearly someone is picking up a lot very cheap shares.

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