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First Asset Morningstar Emerging Markets Composite T.EXM.A



TSX:EXM.A - Post by User

Comment by tommygavinon Sep 04, 2009 7:10pm
563 Views
Post# 16280611

RE: 867,000 on the bid

RE: 867,000 on the bidWell of course,they agreed to do the merger,you get more .2040 shares of DIB for each share of EXM.Say you buy 200,000 shares of EXM for 2 cents= 4000.00, wait for the exchange-or short the DIB shares-to lock in your profits.So for the 4 grand ,you get 200,000 x.2040=40,800 shares multiply that by 15 cents ,you get 6120 dollars....this is what you call arbitrage...the only risk is the deal doesn,t go through or DIB goes down,it was as high as 18 cents on August 18,you would think it be would higher givin this weeks market.So you guaranteed a profit of over 50 %, I myself bought alot of 2 cent shares as well as some 2.5 cents shares just this week,if your going to do this ,might as well go big or go home.I also think that EXM should have got more money (shares) than they did,but could of been alot worse( bankruptcy)So EXM holders still have some of the assets,diluted with DIB assetts,but I think this should be OK. I talked to KARL at the spring 2007 Cambridge show in Calgary.I jokingly asked him if EXM was going to be the next Mag Silver, he said no way ,EXM will be way better than that,he then promised me -guaranteed me 50 dollars a share- in 5 years. I think I took him too seriously.
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