GREY:ALXDF - Post by User
Post by
Malpeque2on Jul 19, 2019 10:37am
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Post# 29939532
Here's why you should vote "YES"
Here's why you should vote "YES"I am all in favor of putting non-performing wayward TSX-V junior exploration companies OUT of business.
AZX is out of CASH. Has an accumulated deficit of $25M since whenever. THat is, they raise about $50M over the years and your getting about $25M back. A suck deal, yes.
My guess is over the years about 1/2 went into Exploration and the GEO/drillbit, and 1/2 went into G&A and lunch for the officers/directors.
It's time to RETIRE these people. 1Q 2019 G&A for AZX was over $500K. That is a $2M a year just to keep these peole here. Not counting drilling. YOur getting DILUTED every day they stay in business. On a market cap of about $25M you have an annual "hurdle rate"
or "managment fee" on an annualized basis of about 9%. That is ABSURD business proposition on its face. This way way reduces the chances of you making a decent ROI even in the speculative and sometimes high return TSX-V Junior Explorco space.
Second reason, IMO, Osisko knows these rocks, has cashed up the O3 Spinco, has put in a diverse pool of deposits, and seems to be about as good an explorer/developer
in the Abitibi as anyone else doing it...................You at least consolidate some of the G&A overhead going forward and IMO your chances are just as good of making a decent hit with O3 as with anyone. I owned some of the cash boxes that amalgamated 3 way or 4 way into Oban. Made a decent profit but wished I held on as the Windfall/Lynx got drilled up! Roosen does't seem to waste much time thinking about drilling, they just drill. I admit, his involvement here is less, and these may be the lesser properties, but the "package" including Marban and Chalice propetties ain't bad.