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Yukon Nevada Gold Corp T.YNG



TSX:YNG - Post by User

Comment by Combo9on Apr 19, 2012 10:14am
209 Views
Post# 19811885

RE: RE: RE: Yukon-Nevada explores options

RE: RE: RE: Yukon-Nevada explores options

For arguments sake, we could expect the bidder to pay an amount relative to the potential returns such a takeover could provide.  The orphan ore in the region, which can only be processed by YNG's roaster, is thought to be worth a net $6 billion.  The compliant resources of 6m oz may be worth (conservatively) $50/oz to YNG, but in the hands of a major producer $200-400/oz is not unusual, or $1.2 billion on the low end.  Just based on this I can't see how it would be even approaching a fair deal for us to accept anything less than $2 bilion.

However I did get the impression that the sale comment referred to a part of the business (e.g. a Ketza spinoff) rather than the whole company.  Didn't they introduce a "poison pill" to avoid a hostile takeover?

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