RE:RE:RE:RE:RE:RE:RE:Takeover of Florida Canyon andre171 wrote: Do you think the ITRG takeover will finally be approved by Florida Canyon shareholders in October?
I think that all depends on the SP of ITR over the coming couple of months, and the POG. For some context, this outcome feels very familiar as a former Argonaut Gold shareholder, where cash is harvested from a mediocre mine(s), though now very profitable with the POG where it is, to fund the development of a flagship asset(s). People on this board probably know the fate of Argonaut at this point...cost overruns forced hedging, major share dilution, taking on a debt, and then they were ultimately forced to sell themselves to avoid bankruptcy. I'm not at all suggesting the same fate would come to pass with Integra, but it's not the outcome I was looking for with Florida Canyon. I recognize that once the Mexican assets were sold, and Florida Canyon became the only asset in the portfolio, the sale of it was just a matter of time, but with the SP of ITR today (C$1.26/share), to only be getting $US60M for Florida Canyon, where the technical report assesses its NAV at US$128M, and that assumes much lower gold prices, so there could be more ounces to mine given today's (and the future strip) POG, not to mention expansion through sulphides, feels very inadequate. I was hoping, and perhaps expecting that Florida Canyon would either sell for cash at something more in line with what Alamos paid for their last subscription (US$99/share) and its NAV (given its current NAV is much higher with POG), or it would be bought/absorbed by another producing company that actually derisked the scenario. Anyway, time will tell, but given the press release rhetoric on how this "benefits" FCGV shareholders, the absence of the Florida Canyon Gold CEO on the webinar (despite mention that she was to participate), and the lack of actual backing of the deal by major shareholders (as was seen in the PR with Alamos), I think It's clear that this deal happened because they wanted to wrap up Florida Canyon Gold as quickly as it was created rather than shop around the asset(s) and do what was in the best interest of its shareholders.