RE:RE:RE:RE:RE:split gcm into share holding company and segoviait would just make the gcm warrant holders exercise their warrants so they can get the share spinout, and give cash to gcm. with that cash gcm can exercise their aris warrants too.
gcm warrant holders who don't want to exercise can just sell their warrants in the market after the share price has risen from anticipation of the spinout getting fair value for the spinout shares (sell just before the spinout date). the price of gcm warrants and shares are linked, somebody would do the arbitrage. if price of gcm shares go up, warrants go up too.
it is in the best interest of gcm to have the warrants exercised sooner to get the extra cash sooner, rather than later in 2024 just before the warrants expire. if gcm gets extra cash from exercise, they can use the extra cash to buy back shares, divi, or other project.
many sprott warrants exercise price is $6.50, higher than current share price of $5.85 so he may not want to exercise, in which case sprott is the one who gets F'd lol
menoalittle wrote: because it wouldn't work worth a spit. what happens with all the outstanding warrants for gcm? do they split and become warrants in both companies, or are you simple out to F the warrant holders of GCM? It's a logistical and legal nightmare.