New Found Gold Corp V.NFG

Eric Sprott interview -- talks a lot about NFG

[Kewl002]

“Big, Big, Big Things Happening” in Gold and Silver - Yearly Wrap Up - 12.21.22

https://www.youtube.com/watch?v=cvnuep4YiD8&t=13s

[Retiredgeo]

Blasted NFG management for making a stock issue without having long term buyers lined up for the shares.  The shares are being flipped which has depressed the price from $6.50.  "They raised $50 mil and the shareholders have lost $180 mil" He is very big on Silver in 2023.  I hope that he is right.

[Dixiedee]

  ES has been high on silver for years this time he maybe right  I agree they should of lined up buyers before going to market maybe they need to get a new broker   

[Gangsterme]

Sprott was not being very honest on his NFG comments. This whole issue was done by Sprott Capital Patners and he bought 6,25 million of the shares issued in the 50$ million issue and the added benefit was that there was millions raised for charities, There is no way for me to believe that he was not aware of this issue before if actually happened. It was Sprott Capital Partnersthat started the

[Gangsterme]

Retiredgeo, this is a little bit of BS from Sprott. The shares by NFG were not sold at 5.50$by NFG as Sprott said,they were sold by NFG for 8$. What is Sprott trying to prove? They were resold by BMO for 5.68$, after taking the 15% flow through tax credit and then donated for the charity tax credit. And, as far as I was able to discern it was a bought deal, brokered by Sprott Capital partners.

[Dixiedee]

  The point I think Eric was making is before they go to market they should have all the issue presold  so it doesn't have as big of a negitive  impact on the existing shareholders Eric has been a huge supporter of NFG and its management to try and pick apart his intent is kind of counter productive I would say 

[Retiredgeo]

He said that they are currently being sold by the new owners at $5.50 (now $5.27).  He wanted these shares to be locked up so that they didn't depress the share price from $6.50.  That didn't happen.

[Gangsterme]

That is the way  Hadith shares work, they are donations by the people that paid 8$ a share. The charities that receive the shares are entitled to sell then whenever it seems, in other instances ther was a 4 month and one day hold on the selling by the charities. They need the cash now and this are selling if the deal was not made for a hold. This would have all been done by Sprott Capital

[Tk11455ok]

Gangsterme,  Just trying to completely understand this Flow Through Transaction. ES through Sprott Capital Partners paid $8/share (50M) to NFGC for 6.25m shares. ES (Sprott Capital) gets to write off 50m. Did BMO just broker the deal? I didn't think that ES needs to sell the shares to someone else to get the tax benefits. I would thus expect him to hold on to the shares. Who actually

[eldreco]

Tk, It was not so much the Charities that are the issue - those were subscribed to and it is done.  The fly in the ointment was the simultaneous release of a second, equal, batch of 6.2-odd million shares to BMO with a value of $6.50 (thus returning to NFG 50 mil on the Charities plus 35 mill on the second lot).  I don't know what they were thinking...that the buyers of the Charities

[Evenkeel123]

This post has been removed in accordance with Community Policy

[eldreco]

Thanks EK - and anybody who has access to this deal at their fingertips and can correct me - please do. The Charities were bought at $8 - then gifted - the write-off to the donors was, I think, in the $5.58 or 5.68 range.  I don't think the write-off is dependent on the donee presenting a receipt to the donor (what if they decided to hang onto them for better times in the SP?  That

[Tk11455ok]

Thank you Eldreco, but actually I'm more confused now. My real concern was who holds the shares and are they holding, selling now, or restricted to selling for 4 months? The share price seems artificially low currently so I sold all my Exploits and Labrador shares today and bot more NFG. I'm looking forward to NFG hitting some more honey holes with just 2/3rds of the 400K meters of

[Gangsterme]

Not quite, Sprott himself only bought 20% of the 6.25million shares as far as I have been able to figure out. Who or what entities bought the remainder I have not been able to find out. They received the flow through tax credit and donated the shares to their favourite charity of charities. I am still attempting to find out if the charities could sell immediately as they normally do with donated

[Tk11455ok]

Thank you Gangsterme and Eldrico, So there may be charity shares being sold and this is the last day of end of year tax loss selling. Onward and upward! TK Happy New Year!

[micromike]

Last day for tax loss was yesterday for stock

[Dixiedee]

  I believe the point Eric was making is the broker should of had buyers lined up to take the shares off the charities hands immediately on execution of the deal two sets of buyers one to give 8 per share to the company and another to buy them from the charities at the 5.68 then it wouldn't of been such an impact and cause weakness in the share price BMO didn't go the extra mile as