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WestFire Energy Ltd T.WFE



TSX:WFE - Post by User

Comment by nonvoyanon Aug 13, 2012 2:06pm
309 Views
Post# 20211803

RE: a fantastic Q2

RE: a fantastic Q2

"e.  Poor, poor deal for Westfire shareholders"

That's what I don'understand.    Before the announcement, GO was $2.08; WFE was $4.65.    GO shareholders receive one share of WFE worth .4167 of their holdings.   GO receives a 20c/share premium for their owners (pre announcement).

In other words, one share of GO (before the reverse takover) would have been worth a premium to WFE worth $4.99/share.

Furthermore GO is worth half the market cap of WFE.   So a smaller company is swallowing up a larger one and getting a discount on their price to boot.   

This deal absolutely stinks of sulphur.   

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