Laurion Mineral Exploration Inc V.LME

Paying with shares vs All Cash deal

[Anthony13]

I really do think the value of what is paid reflects weither it's all cash vs shares.  I hope if taking shares speeds up a buyout with significant value they pivot from all cash and are opened minded.

[matlas]

We all would! Unfortunately, there is a bit of a conflict in interest here. While most of us in this forum would be fine with a deal involving shares,we would not be subject to any lock-up period in terms of waiting to blow off the shares taken back. On the other hand, the LME board and Roger likely would be subject to such a restriction. However, as I have said before, we don't know if

[GoldBelt]

Be careful what you wish for. All cash is definitely better for us than shares or shares+ cash deal.  Often a deal involving shares results in the $value of shares we get is much lower than initially negotiated.  This is because when a deal is Announced the purchasers share price usually takes a hit because the market usually doesn't like share dilution and /or cash being removed

[LaurionLong]

there's plenty of examples of stock deals seeing the stock component drop by 100% before the end of the lockup period.  sometimes it's actually the acquisition that causes that. remember this is Cynthia and Roger's last hurrah..... I doubt hugely they'll take any deal that doesn't let them both sail off into the sunset the day after it's done.

[matlas]

I undestand completely Goldbelt, and don't argue. Obviously, that would depend a lot on who the buyer is. However, one has to weigh that risk of loss against the perceived price discount arising from insistennce on a cash deal. In addition, unfortunately, there are many members of this forum who may be financially hemorrhaging and just want to, in the imortal words of Larry the Cable Guy