Flow-through purchase
The most interesting number in the recent flow through purchase was the $3.75 conditional exercise price for the warrants. Only a few months ago Raymond James Ltd., which also happens to be one of the brokerages in the deal, released a calcuation that Atac was sitting on 3.5 million ounces. Using that number and a low-end $100 per ounce-in-the-ground valuation. the price per share would be almost identical value at $3.50-$3.75. And that number makes a lot of sense as the investors who paid $1.80 for the flow-throughs would likely want at least a double-up to make their purchase worthwhile.