Great Bear Resources Ltd. GTBDF

RE:RE:RE:There may be a buying opportunity as a result of the NSR

[Goaweigh]

I'm pretty certain they won't value the spinco shares any higher than 1 penny.
Can you imagine the shite show if GBR spun out those shares and declared them to have a value of $ 8.00 so that at tax time next year we all had a massive tax liability on a stock that we couldn't sell because it wasn't public yet.
I suspect they will assign a value of 1 penny when they actually spin out the shares and those shares will sit in whatever accounts you currently hold your GBR shares in and they'll sit there dormant until they are listed. When that happens the market will have to decide what value to put on them and if you sell them you'll be taxed as a capital gain on the differance between the 1 penny of value you received to whatever your selling price was.   

captainpooby wrote: The market will bake it in. It always does. Buying pressure will raise the price before the lock in date and selling afterwards will lower it. If there is some perceived extra value, that will be reflected in the new price.

When the spinco shares are created, they will have to have an initial price assigned, like an IPO. Who assigns that price? Chris Taylor, or GBR, I assume, under advisement from some financial company I guess. If CT says those shares are $8 then they are $8. The market will determine whether that price rises or falls except these shares are not tradable as I understand. What happens then I don’t know. How you can sell them, I don’t know. There has to be some method of selling or buying them. Perhaps there will be some type vesting, where you can only sell them after you held them for some length of time.