Brien Lundin of the Gold Newsletter says HOLD Fission2015-08-11 21:33 ET - In the News
Brien Lundin, in the August, 2015, edition of the Gold Newsletter, says hold Fission Uranium Corp., recently 79 cents.
· Mr. Lundin said buy Fission five times between February, 2013, and July, 2015, at prices ranging from 74 cents to $1.71.
·Assuming a $1,000 investment for each of the five buys, the $5,000 position is now worth $3,928.
·The company plans to merge with Denison Mines Corp. Fission shareholders will receive 1.26 shares of Denison for each Fission share held.
·At the time of the announcement, the deal valued Fission at $1.25 a share. Mr. Lundin says the combined company features Fission's 100-per-cent-owned Patterson Lake South uranium project in the Athabasca basin in Saskatchewan, and Denison's 60-per-cent-owned Wheeler River uranium project, also in the Athabasca basin.
·The newsletter editor says the combined company is attractive, but it is not the big takeover deal that he expected for Fission.
·He notes that the announcement of the merger could attract a counter offer from a competitor, a scenario that he hopes will happen.
·He concludes the worst case scenario for Fission shareholders is their company merges with another great company, Denison, and that is a good position to be in.
2015 Canjex Publishing Ltd. All rights reserved.
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Lurk & Learns (naysayers are encouraged to place me on ignore; i.e. if you can figure it out):
Kudos to Quakes for his continued effort to keep all developments into perspective; despite an overwhelming barrage of misguided defamatory posters, second guessers and bash and buyers who cannot differentiate market forces from management's attempts to pro/re act to nefarious and/or other normative & market forces all documented by the non-combative on this board.
There appears to be an element still wanting the best of both worlds. If Dev did not take evasive action would they still be as incoherent or even have an FCU to "talk about"? i.e. while they welcomed DML's help to fend-of a potential hostile takeover, they want DML to fade away into oblivion. How is this possible; besides a "white knight" in no hurry to emerge from the shadows.
BACKGROUND:
Based on a (an implied) gentleman's agreement, circa Nov 2012, PLS was withheld from a previous deal with DML.
Some were glad to bet on Dev's track record of sells, by choosing to be "tactically overweight" using the term loosely.
Rightly or wrongly (only time will tell), Dev decided based on consultation with the forward thinking confidants to change from a "sell" to a "merge" entity.
Based on the aforementioned "gentleman's agreement"; was FCU ever a "sell" ? Was LL told of the hit at PLS? Meaning there are a lot of things playing out behind the scenes, being compounded by a stubborn energy slump taking uranium with it.
At this juncture, my hope is that China & India reactor projections in search clean energy WILL result in (called decoupling) someone stepping up to the plate to make an offer for FCU b4 the October DDD.
I also hope (speculate) that if decoupling of the uranium space does not occur, then DML under the auspices of the Lundin Group (aka stable of companies) would be best positioned to take PLS to PRODUCTION with untold fortunes for those willing (aka can afford) to wait.
Yes this would abandon the speculators confused with sure thing taking the others with a longer term horizon to the promise land. This is the holy grail for most longs WITH A DIVERSIFIED portfolio.
Those who overextended themselves by going tactically overweight got blindsided by Dev's decision to go for the merger. Is Dev to blame or should s/he be looking into the mirror for someone to point the blaming finger at? Dynamic versus Static management?
Finally, Google, "managed accounts" to see why I say that while the disenchanted (aka wife/spouse "not happy with me") will be surprised to see a YES vote. Normal voters will wait for all the FACTS to come in. Those with a declared YES or NO vote could be disappointed.
Board votes, or institutions response wrt to impact of Sendai restart is not instant; they take time.
BWDIK? Lurk & Learns may want to quantify the potential of managed accounts, institutions & and LL proven professional suasion machine to impact the final vote because re TIME & WHIPSAW...when the big players decide to move the market the small investor will not have the time to get in... defines whipsaw.
DYODD - GLAP
Cheers
Stanley