RE:RE:ESM acquiring shares of Vilhelmina Minerals Why did we buy Vilhelmina Minerals at a premium ie over $1 per share. Well here are 3 points below from their own website and finacial reports that may shed a little light on those questions....
Basically the company has been paying compensation to manegment via shares, and has been paying dividends to share holders by giving them more shares.................. So we may have bought manegments shares for a premium.
1. The dividend in kind of shares is made at the ratio 1: 1, i.e. for one (1) share held in Vilhelmina Mineral as per the record date on March 7, 2019, one (1) share is received in Upgrade Mineral. The purpose of the distribution of the shares is to create value for the shareholders in the Company by allowing Upgrade Mineral at a later stage to acquire interesting development projects in precious metals and other minerals.
2. Incentive programs An option program of 1 million warrants has been issued to the Company's key persons consisting of members of the Board and additional persons working in conjunction with the Company.
3. All staff, including management, are hired on a consultancy basis.
79transam wrote: Does anyone now how this helps us? Is giving 10,000,000 shares for ownership in another company that has never mined or made a cent profit (no wonder, Lard A$$ Scott Moore is on their Board) do anything but dilute us like Salvation Army soup?