RE: BUY MNS to play MGA - franknsteinHi Franknstein, Great analysis on MNS and the MGA warrant strategy. Yesterday after a recent BNN guest's Uranium company thumbs up, I bought a small position in MGA shares @ 8.00, but also considered going the MGA.WT route for the additional leverage (they were actually trading at 4.00 when I bought my shares at 8.00) As of now, MGA @ 8.61, up 41c today, MGA.WT @ 4.50 up 49c), so after just one day you immediately see the "leverage" effect (when pps goes up!) as I could have picked up 2x the warrants instead of the shares.
From the National Post warrant listing (link below), I see that the MGA.WT indicates $6.00 exercise price, expiring Feb 14, 2012 (5 years away). Are these the same MGA warrants as the upcoming MNS take-over arrangement that you mention (6 MNS for 1 MGA share + 1/2 MGA warrant?)that you indicate has a $7.00 exercise price? If they are the same, perhaps the National Post one is a typo?
https://www.canada.com/nationalpost/financialpost/fpmarketdata/warrants.html
I would appreciate any clarification that you might be able to provide on this warrant question?
Thanks,
Victor