Aurcana Silver Corp V.AUN.H

Metals & Mining Silver

Aurcana Silver Corporation is a Canada-based company, which is engaged in the exploration, development, and operation of natural resource properties. The Company’s development properties are the Revenue-Virginius mine (the Revenue-Virginius mine or Ouray), located in Ouray Colorado and held through the Company’s 100% owned United States subsidiary, Ouray Silver Mines, Inc. (OSMI) and the Shafter silver property (the Shafter Silver Project or Shafter), located in Presidio County, Texas and held Aurcana Silver Corporation. The Revenue-Virginius mine is located in southwestern Colorado about 5.5 miles southwest of the town of Ouray. Access to the mine site is via County Road 361. The Shafter Silver Project, which is 375 miles southeast of El Paso, in Presidio County, southwest Texas, within a historic mining district.

TSXV:AUN.H - Post by User

Aurcana Silver Corp

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Post by bryancjon Feb 15, 2013 4:04am

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Post# 20993178

AUN to List must reduce shares outstanding

Aurcana must do this rolllback to list on major stock exchanges. It has no choice. The share price is too low at present and the float is too high. The note below nicely explains the position for companies with great growth prosects:

We are witnessing a few cases of rollbacks not with the purpose of raising more money but rather to facilitate the listing of the company’s shares on the NYSE Amex.

Due to the requirements of listing on some exchanges it is necessary to have a higher share price. The benefits of this listing could be enormous in attracting more investors, individuals as well as large investment groups and mutual funds in the U.S. The company believes the increased visibility of this new listing will result in a higher share price in the future and we agree.

Some of the companies which we follow have or in the process of listing on the NYSE Amex and have rolled back their shares in anticipation of this new listing. In these cases, we understand the reasons for the rollback as all investors are looking for the possibility of higher share prices as more investors become aware of these companies.

If you like the specific company striving for a NYSE Amex listing, great, Hold your positions but do not buy more shares in anticipation of the rollback, rather, wait for the completion of the rollback and watch the market closely. These shares may also drift lower providing investors an even better buying opportunity.

Investors in this case should continue to be optimistic:

You like the company or you would not have bought it
The company is applying for a NYSE Amex listing giving them much increased visibility and liquidity and ultimately, a higher share price.
You may have the opportunity to buy the shares at a lower price, shortly after the consolidation.

Conclusion on Rollbacks

Immediately on the announcement of a rollback decide the reasons therefore and whether you want to remain a shareholder of this company.

As always, “It’s your money, so perform your own research and due diligence”.

By Dudley Pierce Baker
Guadalajara/Ajijic, Mexico,