GREY:GDPEF - Post by User
Comment by
LeftBookon Feb 25, 2019 9:39am
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Post# 29408191
RE:RE:RE:RE:Gibson Conversation
RE:RE:RE:RE:Gibson Conversation
Damian already admitted that he was wrong on Gibson. I think you are late on this.
When the facts change, people should change their minds.
Yes. Gibson is talking the price up.
Yes. It is not good for existing Anaconda shareholders if they pay too much. And it would not be good for RCG shareholders if they become Anaconda shareholders via stock buy out.
Your point is taken. We have to be cautious on comments up or down.
So, what is a reasonable price for the company in millions?
(Per share prices are high drama and silly. The share structure has increased from 123M shares in the summer of 2017 to 175M shares today. By that metric alone we expect a 30% reduction in value on a per share basis. But then again other shareholders are helping to carry the freight)
My understanding is the ANX offered 25c per share implying a $30M offer or 20% more than the balance sheet. They were buying the entire company include substantial tax credits.
It is not clear to me if the 20% premium was because Dufferin was advancing nicely and preparing to enter a bulk sampling phase or if the 20% premium was because of a weakness in the ANX balance sheet at the time. I simply do not know.
In the meantime, ANX is doing well and RCG has completed a bulk sampling phase at Dufferin. It is nearer to being production ready.
I think RCG's $32M balance sheet (including the off balance sheet tax-loss credits) is a good first approximation of the value of the company.