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Longford Energy Inc V.LFD



TSXV:LFD - Post by User

Comment by kdcalgary74on Jan 14, 2012 8:53am
372 Views
Post# 19403867

RE: RE: vast opportunity?

RE: RE: vast opportunity?

 

well the good news on an asset deal is that it is for all or substantially all of the assets. Therefore a shareholder vote is requried and LFD would have to seek board approval for the sale and likely there plan for the cash.

A merger with Vast is unlikely and in all honesty a waste. As a longford shareholder, give me my money and I will decide to deploy it where I see fit. In all honesty, WZR would be a better bet than vast; maybe even Shamaran as it works through its recent issues. 

Also, the current partners in Vast are peddling the property.  In Vasts nov 23 press release they state the owner group, including Niko, are looking to sell their interest in Qara Dagh. Vast is a ship going down. Even Forbes has to have the wherewithal to see that ship has sailed.

If it is an asset sale, I am hoping for a disolution and return of capital to shareholders. Since they have probably issued more equity then they will return, they can return captial up to their paid up capital. I believe this would be treated as an offset to your acb in your shares. Any proceeds received above your ACB I believe is a capital gain (or is it a deemed dividend?). Anything below is a capital loss.

 

Still pulling for a share sale as it is cleaner. Problem with the asset sale is mgmt keeps clipping their salary coupons as they drag the process out for months, pay change of control bonuses, etc

And Forbes, any cash from the sale of chia surkh belongs to the shareholders - return it to them and let them decide where to deploy it. I for one will not be touching Vast with a 10 foot pool 

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