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Avion Gold Corp AVGCF



GREY:AVGCF - Post by User

Bullboard Posts
Comment by December3on Oct 04, 2012 11:35am
250 Views
Post# 20447408

RE: Vote: Yes or No?

RE: Vote: Yes or No?

Last I checked you are going to get shares of EDV, not cash.  Write down the value of the shares you held on the day before the deal was announced, i.e. 100,000 shares of AVR x $0.56/sh (Aug3) = $56,000.

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Then hold on to the 36,500 shares of EDV you will get when the transaction is complete.  In a year, look at the share price of EDV and make this calculation, shares of EDV x Share Price of EDV = Value of Investment.  At yesterday's closing price of 2.24..... 36,500 X 2.24 = 81,760, you are up already 46%!

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I suspect that your actual investment is going to be double or better in a year. That is much better than you would have done with F&M running the show.  They would have diluted shareholders further or gone deeper into debt, should derivatives/hedges or something bad for shareholders. 

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This is just another chapter in the sad story of F&M, who appears to make its money soaking companies for fees, not  on share price appreciation.  This appears to be the same thing F&M did with Central Sun Mining - ran it until the financial situation got too desperate and then sold it.  But look how those old CSM assets have performed in the hands of good BTO management? Those properties are the cash flow machine that have allowed BTO to grow and grow and grow.

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So be all grumpy about what "you are getting" or look to the future with a good management team, cash in the bank and soon to be printing money and GROWING!  Hang on to those EDV shares and your PF will thank you in a year or so. Chin up!

Bullboard Posts