Since the Canyon acquisition......When Atna announced the merger with Canyon on 11/19/2007 the ATN.TO stock price was C$1.68. Now, almost 2.5 years after that announcement, and with the Brigg mine set to produce 40,000 ounces of gold this year, the current Atna share price is C
.60.
Terms of the acquisition were that Canyon shares converted at .32 to every Atna share. If they were to convert today, the conversion "price" would equal 19 cents, (not that it means anything), or about C$10 million (not that it means anything). Despite the negative feelings I currently have about Hesketh and Atna, this stock seems incredibly mispriced at these levels. I know I shouldn't trust the Atna press releases, or anything Hesketh says, but if the cash cost is indeed going to be $625 at Briggs this year, and they produce 40,000 of gold in 2010, it's hard to see this stock not at least double from this level over the next year. And what if by some stroke of genius, they were to one day approach maximum plant capacity at the Briggs mine, i.e., 95,000 a year. (It could happen in three years, but then again maybe not at all).
But really, who am I kidding! Will I ever be right about this stock? Probably not.