Where does GSV stand in terms of issuing $300m new shares?One key is the "Effective Date" of their filing. More later.
When they file a shelf registration, it is like a prospectus for future security issues. Its purpose is to save time, allowing a company to issue shares quickly in the future. The strategies could include:
1). They
plan to issue shares at multiple points in the next several years, so with a minimum of updating and legal fees, they can issue shares rapidly on multiple occasions.
2. They expect to be able to
issue shares at a higher price in the future, again this lets them quickly take advantage of a favorable market. A favorable market could result from higher gold prices, or discovery of more gold.
3). There may be other factors, such as finding a new institutional investor like Goldcorp or Oceana.
Are there any hints? Yes. The filing made in the US, linked below provides them some choices as to
effective date. Link at bottom. The principal jurisdiction governing this filing is British Columbia.
On the form GSV filed, they could have issued shares in Canada & U.S. at the time they filed, but they didn't. That is a hint. Another effective date option was a designated time at least 7 days after the June 8th filing. That has passed too. -Another hint they are not in a rush.
This is the option GSV chose:
[X] after the filing of the next amendment to this Form (if preliminary material is being filed).
Basically, they can certify no material changes, and submit updated financials to issue shares
So expect a surprise some morning. Maybe following good news. GSV may offer more hints at their June 27th Annual Gen'l Mtg.
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https://www.sec.gov/Archives/edgar/data/1321847/000117625618000097/gsvf10.htm
| [X] after the filing of the next amendment to this Form (if preliminary material is being filed). |