GREY:MLKKF - Post by User
Post by
tryteon Dec 13, 2013 11:01am
418 Views
Post# 22003058
Mercator Shareholders
Mercator ShareholdersI'm not sure i fully understand the compensation of ML shareholders in this transaction.
"Mercator shareholders will receive one new common share of the combined company plus one transferable put right for each existing Mercator common share. Each put right will entitle the holder thereof to sell one common share of the combined company to the combined company at a price of C$0.10."
So whatever the value is of the new Intergeo Mining shares are, we get one new common share for each of our existing Mercator shares. Then the new companies shares are consolidated at 1:50. After that point i am able to sell my put option back to Intergeo Mining for $.10 based on my original ML sharecount?
Example on 1000 ML shares
1000 / 50 = 20 Intergeo Mining shares of an unknown value at this time.
1000 x .10 + $100.
So if i started with 1000 ML shares, i end up with $100 cash for the put options and 20 shares of the new Intergeo with at this time, an unknown value. Am i looking at this correctly?