RE:Mell's BNN interview figures
17Digger wrote: FCC President Mell's interview yesterday gave enough informaion to allow some rough calculations.
FCC will have 35% of the new company which is the existing 55 million shares they have now
CO1 will have 53% which is 53/35 x 55 million = about 82 million shares
CSK will have 11% of the new company = 11/35 x 55 million = about 18 million shares
Now, he also said the new company would be about worth about $120 million.
From that you can compute your new combined FCC approx share values as $120 Mil / (55 + 82 + 18 = 155 mil. shares) = about 75 cents (Canadian cents I asume) whichis about where FCC stopped trading.
Use a calculator and be more precise if you will but that is about where the numbers that he gave yesterday take us.
If so then the alleged 20 cents for each CSK share depends solely on how FCC will trade up or down when trading resumes.
That will be an interesting and possibly lucrative bet.
That is a great post 17Digger... I am glad you posted that...! It's about time people realize we are getting screwed... because you made a small mistake in your calculation... let me pointed it out!
You are missing 1% in your calculation... let's even forget about it...
You are saying that CSK shareholders will represent 11% of an hypothetic float of 155 million shares... or 18 million shares... and that the market cap will be 120 million divided by 155 million shares... that puts a 0,75$ figure on the stock... exactly the fake price FCC was trading before the halt.. let's even forget it was a fake price since he's using the same value for market cap... and you point out that the only bet is if FCC will trade at 0,75$ over or under 0,75$...
but you made a big mistake... I am gonna pointed it out for you... after you might be on my side and realize we got played... and you've highlighted it for us...
Shouldn't we have 0,2632 shares of FCC for every CSK shares out there?
CSK has 86 million shares, X 0,2632... we should have 22,635,200 shares of FCC... not 18 millions like you pointed out... hum... that is not just few hundred thousand shares less... it's almost 5 million shares less... where did they go? The ratio changed or what?? Oh... but this is what I am pointing out... and nobody is getting mad at this?? The real ratio is now 0,2118 shares of FCC... not 0,2632... how can they do this?? By over evaluing the value of FCC and Cobalt one and devaluate our value... now... 0,2118 is giving us 18 million shares, the exact value you got...
This gives us 0,2118 shares of FCC for every CSK shares... Let's now use the fake pump over inflated value of 0,75$ they are using now for FCC and multiply it by 0,2118... oh... it gives us 0,159$ per share value so let's say 0,16$... but oh, this is based on pure assumptions... and we are missing one percent in the calculation (11% FCC, 53% Cobalt one, and 35% for current FCC holders... ) plus, between you and me, the 120 million market cap is a pure evaluation based on we don't know what...
You know what, the real real number we will have for our shares is gonna be 0,14-0,15$ or else, why would they be selling at this price right now??
If you buy over that price, you might lose money... that's why it went down...
Now, if cobalt is at 40$ per pounds in 3-4 months, maybe the company will open even higher... but the fact is, you will not have the shares in the new FCC that this deal is telling you, you will have... so they aren't buying us for 0,20$ a shares, but for 0,14$ a share...
Would you accept 0,14$ per shares?
If cobalt goes to 40$ per pounds in 3-4 months... (it's at 26,99$ now... it's breaking up!) Would you think that CSK would be trading under 0,14$??? Don't you think CSk that is a near term producer will be worth multiples from 0,14$?? We were 0,185$ 2 weeks ago before they went at us again!
And you are happy with 0,14$?
Thanks a lot 17Digger... you showed us that we will get ripped off of around 5 million shares in the deal... and you proved it using was FCC's CEO said on BNN!
This guy must be an idiot to say outloud for everybody to hear that he planned a bogus merger offer... and that he hide it to CSK shareholders... and now, what does Bruce has to say about it??
Is he getting something we don't know for him to accept such a thing??