The other institutional investor!Take trip down memory lane to this disclosure from October 25, 2006 regarding Firebird Management LLC's participation in the PP (they also held an additional 1,040,000 shares).
I imagine that this institutional investor, probably the first major one in recent history, prior to Desjardins, who incidentally is still holding onto their position, is really disappointed (not!) with the way their investment turned out six months down the road!
For fun, let's take a quick look at the math behind Firebird's investment:-
4,608,000 PP units @ $0.40 = $1,843,200 (initial purchase)
4,608,000 FNI shares @ $1.29 = $5,944,320 (today's valuation)
(Plus 4,608,000 FNI share warrants @ $0.50 exercise price)
4,608,000 FNI shares (when exercised) @ $1.29 - $0.50 = $0.79 (today's pps profit) = $3,640,320
So Firebird's $1,843,200 initial investment, six months down the road, is now worth $5,944,320 + $3,640,320 = $9,584,640 (420% profit in six months).
Plus, regarding their additional non-PP 1,040,000 shares, I wouldn't be surprised if Firebird picked these up post-PP in the $0.30 - $0.40 range, since these are very smart, astute, savvy investors!
"Firebird Global Fund II is focused on public and private equity investments in frontier markets, early stage companies, and out-of-favor industries" (I would say FNI was a candidate back in Sept/06).
"Firebird Global Fund is a contrarian portfolio equity fund that focuses on exotic markets and sectors worldwide" (nickel!).
I considered the Firebird route, to obtain exposure to FNI last year, but the only problem with Firebird Funds is that you need a minimum $250K investment to get in - they cater to well-heeled clients! I didn't qualify last year, although I certainly do now!
Victor
*********Firebird Global Master Fund, Ltd************.
The offeror and its joint actor, Firebird Global Master Fund II, Ltd. (“FGMF II”), acquired ownership of 4,608,000 Units (“Units”) of First Nickel Inc. (“First Nickel”).
Out of the 4,608,000 acquired Units, 2,008,000 units were acquired by the offeror and 2,600,000 units were acquired by FGMF II. Each Unit consists of one common share and one common share purchase warrant to acquire the same number of common shares in the share capital of First Nickel for a period of 12 months. The 4,608,000 Units represent 4.92% of the outstanding common shares of First Nickel (or 9.38% assuming the exercise by the offeror and FGMF II of the said warrants, including the common shares deemed to be acquired pursuant to the exercise of warrants).
Immediately after the transaction described in item 2 above, the offeror and FGMG II held 5,648,000 common shares and 4,608,000 common share purchase warrants of First Nickel representing 6.03% of the outstanding common shares of First Nickel (or 10.44% assuming the exercise by the offeror and FMGF II of the said warrants, including the common shares deemed to be acquired pursuant to the exercise of the warrants). Out of the 5,648,000 common shares and 4,608,000 common share purchase warrants, 2,573,000 common shares and 2,008,000 common share purchase warrants are owned by the offeror and 3,075,000 common shares and 2,600,000 common share purchase warrants are owned by FGMF II.
The 4,608,000 Units were acquired for a cash consideration of $0.40 per unit for a total consideration of $1,843,200.
DATED this 25th day of October 2006.
FIREBIRD GLOBAL MASTER FUND, LTD.
(s) James Passin