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US Cobalt Inc V.USCO

"US Cobalt Inc is a natural resource corporation engaged in the acquisition, exploration and development of exploration and evaluation assets with its primary focus on the development of the Iron Creek cobalt property in Idaho, USA."


TSXV:USCO - Post by User

Comment by rotten2coreon Apr 05, 2018 12:21am
136 Views
Post# 27833750

RE:RE:FCC share price

RE:RE:FCC share priceHi Reza. Thanks for your reply. I definitely welcome intelligent conversation and debate. There's not enough of that on these boards! While I do see what you're saying about the timeline and share price, the part I don't agree with is your assertment that USCO would be at $0.80 right now without the acquistion announcement. USCO has put in some great work at Iron Creek and furthered tbis project on wonderfully. Lots of USCO shares were traded over $1.00 in the months leading up to the announcement. The SP was $1.01 the day prior to the announcement. Months before that, we had a high of $1.18/share. I believe USCO has been (and continues to be) undervalued for a long time. The market wasn't giving full value IMO. But with many shares trading above $1.00, and a high of $1.18 prior to FCC showing up, the market certainly had recognized some of that value. The problem with making an acquistion announcement at 1.5 for 1, and then allowing the companies to continue trading for 2 more months before a vote, is that the waters become muddied. The market immediately looks to FCC sp for valuing USCO. So it becomes impossible know the "why" behind the price action. Would USCO be doing just as well right now without FCC? Possibly. I'd actually lean towards probably. This is basically where we were at prior to the announcement. So I get what youre saying. If FCC was at .80, we'd be getting 1.20 and thats great. Its a 50% premium. But who's to say we wouldnt be at $1.20 had FCC never come along? We were headed in that direction and had been there before. If we end up getting a $1.20/share equivalent for our shares it will definitely be very, very dissapointing to me. We know we had got to $1.18 on our own, and the Cobalt market has done nothing but strengthen since then, $1.20 is essentially giving our assets away. I'm actually getting angrier and angrier at this deal the more I write lol.
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