Majestic Gold Corp. V.MJS

PR China wants to invest in PRG

[rbg3006]

Cornerstone investor Dongfang Gold Industry (Hong Kong) Limited wants to take 39.6% of the IPO shares.
Dongfang is a wholly-owned subsidiary of Shandong Zhaojin Group Zhaoyuan Gold Smelting Co., Ltd.
Shandong Zhaojin Gold Smelting is 100% owned by Shandong Zhaojin Group Corporation Limited.
This company is indirectly and ultimately 100% owned by the government authorities of the People's Republic of China.

(Source: Prospectus Page 423 and following)

[nozzpack]

So Shandong will be buying a huge chunk of those Internatiinal IPO shares..nearly 40%. What is also interesting is that subsequent to its purchase, Shandong will own just under 10% of PRG. This means that Shandong does not meet the definition of an Insider of PRG. In any buyout, those shares can be voted One wonders what other Chinese buyers might taking huge chunks of those

[nozzpack]

On the affirmative side , Shandong trades above 40 times its price to earnings. I presume and take for granted that any buyout offer of a HKEX listed stock must be accompanied by Fair Value Analyses. Accepting that posit, Majestic  via Persistence has perhaps the highest net margins of any gold stock in the Universe ..or nearly so.. Going forward, by 2025 the much higher grades should