News - $200 MillionSilverCrest Files Final Base Shelf Prospectus -
https://www.silvercrestmetals.com/_resources/news/nr_20200609.pdf -
Newsletter Quote:
As management notes in the press release, SilverCrest has all the money it needs to build its super-high-grade Las Chispas silver-gold mine in northern Mexico.
So, why file paperwork to enable them to raise another $200 million?
Well, in part, because they can.
With shares over C$12, they can basically print money by selling shares.
-
-
Of course, they say this is to keep the exploration drills turning during construction and to have cash on hand to be ready to take advantage of other opportunities.
I’m sure that’s true.
But I’m also sure they have a pretty good idea if which other opportunities might interest them…
-
-
Remember that this company is SilverCrest 2.0.
The first version built the Santa Elena silver mine and sold it to First Majestic, spinning out non-core properties in what has become this version of SilverCrest.
As Las Chispas comes closer to becoming a mine, I could see the company following the same strategy again:
spinning out non-core properties like the Cruz de Mayo project into a new company—which would get plenty of cash to advance it.
-
-
This is just a guess on my part.
Whatever the truth may be, this team has done an outstanding job of turning cash raised into value for shareholders, so I’m happy to go along.
-
End Quote.
~Louis James,
The Independent Speculator -
-
RJ