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Evolve Canadian Aggregate Bond Enhanced Yld Fd ETF V.AGG


Primary Symbol: T.AGG



TSX:AGG - Post by User

Comment by ABDPhilon Feb 16, 2021 9:02pm
97 Views
Post# 32581139

RE:RE:One is better than two you will have

RE:RE:One is better than two you will haveIf my comment doesn't seem relevant to you, you can ignore it. When the discussion becomes redundant, this is my way of ending it. You don't have to be concerned Mr. W.

Regarding my initial message and the value of AGG, I must clarify that my thinking has evolved since that time, as has the situation. I remind you that in the meantime, there has been the funding of $ 4,000,000 for 26,000,000 shares. The Kobada project therefore always has the same value, but the same cannot be said for the value of each share. The value of the Kobada project
will soon have to be divided into 175,000,000 shares rather than 149,000,000.

The market value is currently $ 22,350,000, which means the funding close is already seen in the stock price. When the funding is closed, the market value will be reset to $ 26,250,000, as long as the stock price is still 15 cents. As a result, the spread between the value of the Kobada permit and the market value of AGG will narrow.

My concern is that AGG's financial situation is deficient and that there are fewer and fewer solutions to end the dilution of shares. As a result of the dilution of 26,000,000 shares, the value of 20 cents for the Kobada permit must be adjusted to 17 cents.

If a cash takeover were to take place, I'm sure we could get 17 cents plus a few cents bonus. But does this correspond to my objective of this investment? Not at all.

In my opinion, the takeover scenario by Robex is still the one that I consider the perfect marriage, technically possible, and ultimately the one that would be the most profitable for AGG shareholders in the long term.
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