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Afri-Can Marine Minerals Corporation V.AFA



TSXV:AFA - Post by User

Comment by Meuzeon Sep 15, 2011 11:11pm
224 Views
Post# 19048666

RE: RE: Presentation Sept 12

RE: RE: Presentation Sept 12Hi Kegaston,

I agree with most of your comments. However, I think that there is 2 options that we can expect.

1) The market is currently giving a value of 5-7 million to the Haib project, and a 5-7 million value for the diamond project. In that case, AFA shares value drop by 50% the day of the share dividend payment, and the new listed company will have a market value of 15M, where AFA owns 50% of it.

2) Haib project is currently given a value of 0$, and all current shareholders will benefit of the new listing, making a profit of 100% in one day.

In the second case, and knowing all the info is publicly available, i would expect huge buying pressure, especially by the insiders. We don't see often a 100% increase potential short term just because most of the investors are not aware of a new release.

But I certainly hope the second scenario would be the one realised. I guess I just have to wait and see for now!

Mark
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