RE:RE:RE:RE:RE:RE:Newmont closes Newcrest...Hi Sooner, we all agree that in the world of investing it is all about timing. Take a look at our neighbour (Coffee Deposit) which was bought out at $520mm CAD or about $400mm USD. They only have about 20% of the gold (and probably much less of the copper/silver). Yes, the environment was different a few years ago when that buyout occurred, but sentiment is much like the weather, hang around long enough and it will change.
If a repeat of the Kaminak deal occurs next door with Casino, you are looking at about $2billion split amongst the shares outstanding to yield that double-digit price some of us are expecting and waiting for.
Do you believe that Kaminak was a once-in-a-lifetime event that will never occur again? Yes, many claim that Goldcorp overpaid for Kaminak, but Casino has the copper/silver/moly to tack on so achieving the equivalent is not a stretch whatsoever.
Grossly overestimating Casino's value to a certain extent depends upon what type of environment you expect/want a buyout to occur. In the current environment I agree with you. In the environment I envision the buyout occuring, I disagree with you.
In the meantime, I'm waiting for tax loss season to push WRN shares closer to $1 USD as a gift from the impatient. The problem I see in the current environement is akin to giving a kid $5 and setting him loose in the candy store: he wants to buy $100 worth of candy on a $5 budget!! Gotta pick n' choose which diamonds in the rough are getting beat up the most and undeservedly so.