Question is?Will Camex broker a deal to bring VRB ( Prestigue) into the fold and put the project back together or not?
Can the Blackrock stand on its own with a 14 year mine life or is more attractive if the Lac Dore is lumped into the deal and a 25 year mine life is created.
Friendly or hostile.... Depends on the offer if we get one...
Friendly in my opinion would be to make ( Presigue an equal partner pre anounced financing of Blackrock) Thus the funds raised in their new financings are initial funds to grow the project...
Friendly = 100,000,000 shares post consolidation equal to the present Blackrock float.
equal partners in the new consolidated company as of now.
These shares could be escrowed to VRB and dividened out at 10% portion each quarter to VRB shareholders say, starting in 2015. 10 incriments of shares divied on a 1 for 25 basis of shares held in VRB. Investors could sell or hold these new co CXE shares
VRB would retain the portion of shares not dividened out based on the float.... approx 30%
Hostile = Blackrock raises say 50 to 100 million at $1.00 and uses those funds to buy VRB or Presigue for cash.... The end result is that the float size for CXE is the same but the timeframe to aquire is lengthened and not a sure thing that VRB investors will go along with any offer.
Nothing: Lets say Blackrock is comfortable with what they have and look at making a deal sometime down the road.... 5 to 10 years.... This makes the capex recovery more difficult... less ore, higher strip ratio, shorter miine life.
This situation is the first hurdle for Blackrock evolution into production....Will investors fund Blackrock and the main project as is, or will they insist on putting the project back together....
I figure Blackrock needs to do initial placements in the 50 to a buck range for about $100MM to make it possible to raise the main funding. The main funding will need to be in the $2 to $3 range to fund the additional 500+ mm required to build the project.
Long and short of it the final float will be in the 400 to 500MM share range no matter which way they go.
JMHO