RE:AMKbovalena wrote: The way I read the tea leaves is that AMK had posted its entire NSR to some third party(UNKNOWN at this time) and had the right to buy it back for 1.5 million???(not sure of this figure). They have now allowed someone else (the third part vendor???) to make the sale of the royalty and thus recieve 5 million shares getting all the upside of a serious gain in Tudor stock. They received a pitance of 100,000 shares is what I am understanding. What do I have wrong Zorg??? I think you see it my way, that this is a very good deal for all except AMK who could have bought back and retained the royalty and would then be in the same position as Teuton except for the $1.5 million in debt, but pay interest only and bet the come! Much better than chasing Pixie dust at Dunwell!
Hi bovalena. Yeah, that was not the best transaction for AMK. Here's the news item where they first gave away the NSR Sept 1, 2009 as part of an $850k investment deal:
https://www.americancreek.com/index.php/news/archive/news-2009/197-american-creek-announces-850-000-investment
Then later, they had to amend the deal so they could sell part of their 51% stake to Tudor in 2016. They would have owed the investment group $6 million if the deal had not changed, but they gave out another15,000,000 shares of AMK stock to change the deal.
https://www.americancreek.com/index.php/news/news-2016/103-american-creek-resources-negotiates-treaty-creek-nsr-buydown
When Tudor gave them stock and cash for Treaty Creek, they had to pay out 25% of that to the investors per the updated deal (250k Tudor shares and $125,000 cash I think).
So at this point, the investment group has received 15 million AMK shares, 5.25 million Tudor shares and $125k cash, all in exchange for $850k - plus the investment group got 2.833 million shares of AMK at $.30 when they first signed the deal in 2009.
I actually can't find a copy of the deal itself anywhere - would love to see it if someone comes across it. The investors were never named to the public that i know of.