RE:RE:RE:RE:RE:Share price at $6.77 ...Benedict16th wrote: So when GUD bought GBT and paid FOR the 51% in November the Brazilian Real WAS .35 to the canadian dollar, now the Real is .26. That is over 30% depretiation and hair cut that GUD took. We still do not know and it is a secret "in GUD MNGT mind" how are they paying for the .49%. Did they edge the .49% and taking another haircut or are they paying the rest with a 30% with discount due to the depratiation of the Real? Should they not tell shareholders what the facts are? Remember the earning in Canadian dollars should also be 30% less. ARE this MNGT jenius? I do not know as the facts and foggy so far. But the market knws.
Once a gain, read the freaking reports.
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In connection with the Unified Tender Offer, the Company entered into foreign exchange contracts to mitigate its exposure to foreign currency risks. As at March 31, 2020 the company held foreign exchange forward contracts to sell CAD and buy USD $124,442 at a weighted average rate of 1.32 CAD/USD (“USD Contract”). In addition, the Company entered into foreign
exchange non-deliverable forward contracts to sell USD and buy BRL 510,791 at an average rate of 4.10 BRL per USD (“BRL Contract”). As at March 31, 2020, the Company has an obligation to purchase an BRL 510,791 at an average rate of 3.12 BRL per CAD based on the USD Contract and BRL Contract. Those contracts will be exercised upon the launch of the Unified Tender Offer. As a result, a derivative liability of $25,995 was recorded as at March 31, 2020 (December 31, 2019: derivative asset of $1,096). Due to the currency fluctuation, the Company recorded a loss of $27,092 in the statement of loss in “Net gain on mandatory tender offer liability”.
As a result of changes in the fair value of the USD Contract and BRL Contract (“FX Contracts”) and the foreign exchange revaluation of the MTO liability the Company recorded the following net gain in the consolidated statement of loss as “Net gain on mandatory tender offer liability”. FYI, according to google, 1 usd = 1.35 CAD and 1 usd = 5.17 Real. So we are making about 0.03cent on the usd/cad side and 2.07 Real on the USD/Real side. LOL