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Monarch Gold Corporation T.MQR

Monarch Gold Corp is a Canada-based exploration-stage company. It is engaged in the acquisition and exploration of gold mining properties. Its main activities are located in the province of Quebec, Canada. The corporation holds an interest in gold properties including the Beaufor Mine, Camflo Mill, Croinor Property, Beacon Mill, Wasamac, and McKenzie Break among others.


TSX:MQR - Post by User

Comment by geosan0on Mar 02, 2020 1:39pm
140 Views
Post# 30756973

RE:RE:RE: My question concerns the people running the shop

RE:RE:RE: My question concerns the people running the shop Hi bogfit,

Although the plan of arrangement indicates that Kodiak Explorations merged with Golden Goose Resources, Kodiak Explorations changed its name after the transaction to Prodigy Gold:

Prodigy changed its name to "Kodiak Exploration Limited", and then on December 31, 2010 Prodigy changed its name to Prodigy Gold Incorported.

At the time the plan of arrangement was carried out the following metrics were provided for in the agreement:

On August 31, 2010, GGR and Kodiak Exploration Limited announced they have signed a binding definitive merger agreement, wherein Kodiak will acquire all of the outstanding shares of GGR by issuing 1.2 shares of Kodiak and one quarter of a Kodiak share purchase warrant (exercise price - $0.45; maturity period - 3 years; KXL's current price is $0.20 per share) for each outstanding share of GGR. The acquisition price reflects a premium of 40% for GGR’s shares based on the 20 day volume weighted opening price of GGR and Kodiak shares.


So to summarize, Golden Goose (GGR) was sold to Kodiak which changed its name to Prodigy immediately after the transaction closed for a premium of 40% over the Kodiak (KXL) price of $0.20.  Then, in less than 2 years those shares were sold for approximately $1.08.  By my math, if you had acquired shares of GGR prior to the Kodiak transaction and sold when the Argonaut transaction closed, you would have made in excess of 600% in about 2 years (excluding the money made on the warrants).  That sounds like a "sizable profit" to me.


Final thought:

If you are contemplating an investment in MQR and have ANY doubts about management, I strongly encourage you to look elsewhere.  If you are unsure, then simply call up the company and ask to speak to Jean-Marc Lacoste to get more details on the missing time period in his bio.

Best of luck to all longs. 
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