Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

First Uranium Corporation T.FIU



TSX:FIU - Post by User

Comment by hyperliteon Jan 26, 2012 10:57am
200 Views
Post# 19452085

RE: RE: RE: RE: RE: Cash on hand,

RE: RE: RE: RE: RE: Cash on hand,

good question, i would say with almost certainty that they would want to pay cash over shares. the reason for that is that they have a lot of cash on the B/S and its usually a bad idea to issue shares in a bear market... typically you want to issue shares over cash when youre stock is trading at a premium. ashanti shareholders would be pissed if they got diluted to buy this asset when they have plenty of cash on hand thats just sitting there.

as for the price, they typically have to pay a reasonable value for it dispite market conditions. arguably they paid 60 cents a year ago for a non-control position so i think they have to pay more than that for the whole thing... but not much more... lets call it 65-70 but really thats just speculation... they could also try and come in at 50 to see what happens. thats just my opinion...

<< Previous
Bullboard Posts
Next >>