Purposeful Delay in Share Consolidation ? I can see no reason for such a delay as it's benefits are obvious.
It is approved, so why wait ?
A takeover would be a straight up deal either for cash or more likely equity based.
That leaves acquiring another Junior with specific benefits that advance the integrated value of the new entity.
I have previously mentioned Big Ridge as an obvious eventual acquisition .
However,....again previously mentioned in my posts...LAB stands out for its multiple benefits to three large holders,....NFG, Sprott and PALI.
Plus Sprott and Pali own whacks of NFG.
LAB has been knee capped at 8 cents for quite a while by persistent selling.
Yet, it owns 5.3 million NFG shares plus $6 m in cash ...a total cash and cash equivalent value of about $25 million at current NFG share price.
Here is my contingent rationale for Maritime acquiring LAB.
Maritime acquires LAB and announces that the tolling agreement with NFG has been finalized.
Such an announcement would double the share price of NFG , with huge benefits to Sprott and PALI.
Being substantial owners of LAB, all three...Sprott, PALI and NFG .. become significant shareholders of Maritime which is a double benefit for those three large LAB holders.
Maritime , as the NFG share price appreciates to $7, secures over $40 million in cash and cash equivalent NFG shares.
Maritime then announced its share Consolidation.
As there will be a redundant TSX listing ..that of LAB..spin out the tolling MOU to NewCo along with the
Nuggett Pond mill and a cheap buyout of Signals Tilt Cove project .
In this process, Maritime bulks up its balance sheet and share price, eliminating all capex needs for mining of HD while enabling the exercise of nearly $8 million in warrants .
It is then ready to merge with Firefly, creating a Senior level diversified mining company which forms the Core of Maritime's Hub and Spoke business model.
Big Ridge and its 1.5 million ounces is then acquired , giving the Pine Cove mill a 25 year gold production feed source of 100,000 ounces per year.
We will make a huge fortune in the process.
Makes great economic sense .
What impresses me is that we are now almost chewing through 0.5 cents per day on very light volumes of less than 1 million shares per day.
This, in the absence of any of many possible development announcements .
It shows that the intrinsic value of Maritime is finally being recognized by the market and more importantly by Maritime shareholders.
By that I mean , a maturing retail base that are beginning to understand and consider the value of holding rather than flipping.
That is quite a significant transformation ..
AIMHO
GLTA