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Ryan Gold Corp V.RYG



TSXV:RYG - Post by User

Comment by RockLobster1on Aug 10, 2015 6:08pm
192 Views
Post# 24004905

RE:Oban Deal/Tax Loss Carryforwards

RE:Oban Deal/Tax Loss Carryforwards
I once went through the dissent process, and only because someone else organized it for about 10% of shareholdings....  what an amazing hassle and indeed a totally stacked deck.  I rather naiively thought there'd be 1 hearing to determine fair value and that woudl be it.  Instead the company delayed each hearing by telling the judge a negotiated settlement was possible.   It dragged out over 2 years, and legal costs were 10x the initial estimate.  Amazingly we still came out 10-20% ahead after costs when the company paid part of what we hoped for and everyone just wanted it done.  But there was no guarantee it would ever end!

I certainly will never do that again unless it is on the coattails of a huge coalition.   You can see why these deals generally go through with virtually noone dissenting.

BTW - the 1st hassle of dissent I learned was that any holdings in a registered acct have to be taken out and put in your own name....  had to pay for that.

Hard to see that RYG or CRG will be worth less on conversion unless gold stocks keep getting killed.  Osisko is a big name, and Dundee has sat on RYG forever.   Just glad that Dundee is better mgmt  than the mgmt at Aberdeen or Pinetree...   If this was Aberdeen the cash would be gone in 'change of control' payments.  Amazing how that is allowed!
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