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Mosquito Consolidated Gold Mines Limited V.MSQ



TSXV:MSQ - Post by User

Comment by halcrowon Aug 23, 2012 5:32pm
162 Views
Post# 20254029

RE: halcrow is this the bottom price ? 23?

RE: halcrow is this the bottom price ? 23?

Depends on the deadwood, don't it?

As well-connected Fife opined, "39,000 more shares sold by 'Anonymous' on the TSX this morning already.  It would not surprise me if it is Kyle".

According to Sedi, Kyle McClay had 2.33 million shares at August 2, 2012. I estimate that the adjusted average cost of those shares is likely about a dime so, if he could drop them all into the market, anything above a dime is profit, and anything below a dime is a return on dormant capital.

And then there's likely a need for money. A financing would be dilutive, would be hard to sell at 23 cents, and there's the distinct possibility that a rollback could be in the near future.

A one-new-for-10-old would likely savage the price, dropping it very quickly to under a buck (that's a dime for the old shares).

 

Drifting rudderless, with apparently no hands on the helm, isn't anything that is likely to attract fresh shareholders (and, if well-connected Fife is correct, then new cash coming in might mean cash going out to buy ex-insider paper).

 

 

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