Best bang for buckDoes anyone understand the new share structure?
Under the terms of the Agreement, Trek Mining will acquire all outstanding shares of NewCastle and Anfield at a share exchange ratio of 0.873 Trek Mining shares for each NewCastle share (the "NewCastle Exchange Ratio") and 0.407 Trek Mining shares for each Anfield share (the "Anfield Exchange Ratio")....upon completion of the Arrangement, former Trek Mining shareholders will own 44% of Equinox Gold, former NewCastle shareholders will own 44% and former Anfield shareholders will own 12%.
The current share prices are:
NCA: 0.84 (203m shares)
TREK:1.07 (177m shares)
ANF: 0.42 (119m shares)
So, my understanding is that NCA and ANF will be converted to Trek shares and then NCA and Trek shareholders will own 44% of the company. What I'm trying to figure out is if NCA is undervalued. Anyone care to comment?