RE: RE: Royal Standard down 35% to .05 I had considered buying Royal Standard, good thing i didn't. Royal Standard is essentially out of cash, in debt, and a company in that position is always holding the weakest hand of cards. The agreement is non-binding and subject to negotiation as stated in the news release. Maybe Scorpio can offer fewer shares because the share price is higher now. Waterton and Scorpio has the stronger hand of cards. If Waterton chose to, they can pull the plug when Royal isn't able to pay the debt interest and take over the company, making the shares worthless. Waterton needs capable management to operate the mine which is where Scorpio comes in. On the other hand, if the deal does go through on the same terms unchanged, then Royal Standard shares are undervalued. It's a high risk gamble with possible higher return. Scorpio is buying the properties, not the company (or any other possible liabilities like accounts payable), so Royal can even stay undervalued for a while after the transaction.