Warrants I have a question about the warrants.
Do they expire automatically if the share price is lower than the strike price on the expiry date?
Millrock has over 50 million warrants outstanding according to their corporate presentation. Just over 4 million are set to expire on December 10th as their strike price is 40 cents.
Another ~ 7 million will get extended to December 15th, 2020 and the strike price will increase from 45 cents to 55 cents.
7.384 million have a strike price of 14 cents with an expiry date of December 7th, 2019. I assume that if the SP is below 14 cents by December 7th they will extend to December 7th, 2020 and the strike price will increase by .03 to .17.
~ 21 million warrants have a strike price of .14 and an expiry date of December 14th, 2019 which iextends to .17 on December 2020 which would be an extra $630.000 if exercised next year as opposed to 2019.
A further ~8 million shares have similiar strike prices and expiry dates but are subject to an accelerated exercise clause if shares have traded at or above .20 per share for 20 consecutive trading days Millrock could give notice that the warrants will expire if not exercised within 30 days of such notice by EMX.