Best Outcome under the current situation. I now know why I was left with such a sour taste in my mouth after the last Klondex conference call. It is now clear as to why it was lacking in disclosure and down beat. Hecla has made a brilliant strategic move that will in time be meaningful to its shareholders given its US1.5B mkt cap. Klondex shareholders now get some optionality through Hecla. Klondex shareholder can decide if they want to get some upside from Hecla or take the cash. They also get the spinoff of Klondex Canada which many think is worthless but Hecla seems to think its worth US$52M.
klondex had 18M shares short but we will wait to see how many remain after the TSX dump of 9M shares. They will also need to cover or buy shares of Klondex Canada.
Ahould be be interesting day for the shorts assuming they did cover on Friday.