RE:RE:RE:RE:RE:RE:question on unused tax credits if any A dollar was a reasonable first approximation for Dufferin
Arbitrarily using the share count from Dec 2016.
Using Pre-tax numbers because of the tax-loss credits.
Pre-tax NPV,5% $121.1M/123M shares = 98c
Tangier is similar property.
So $2 total. De-risk by 50% is $1
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I can only guess why share prices traded between 5 to 20c.
The book value was negative around June 2016.
Share count was 45M shares so shares were tight.
Sellers would have been ex-Reliance shareholders selling their tax-loss credits for 2c to 20c cash.
Perhaps buyers saw some potential despite the debt.
RCG announced a proposed 20c private placement by Eric Sprott on Sept 28, 2016. So after the initial run up.
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perhaps the market value of the tax credits are buried in those numbers.