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Signal Gold Inc T.SGNL

Alternate Symbol(s):  SGNLF

Signal Gold Inc. is a Canada-based gold development company. The Company is engaged in advancing the wholly owned Goldboro Project in the Canadian mining jurisdiction of Nova Scotia. The Goldboro Project is an advanced exploration and gold development project located approximately 175 kilometers (km) northeast of the city of Halifax, 60 km southeast of the town of Antigonish, and 1.6 km north of the village of Goldboro, on the eastern shore of Isaac’s Harbour, in Guysborough County, Nova Scotia, Canada. The Company has consolidated approximately 28,525 hectares (285 km2) of prospective exploration land in the Goldboro Gold District.


TSX:SGNL - Post by User

Comment by DoumDiDoumon Oct 23, 2024 11:59am
329 Views
Post# 36278668

RE:RE:RE:Pre Merger stock value diff between Signal and NexG

RE:RE:RE:Pre Merger stock value diff between Signal and NexG
GoldNHill wrote: I will be voting Yes with my pile of signal shares....yes for debt releif, merger to a much smaller share float, big names behind NEXG plans to advance one of two projects to production...you move over to NexG with the same current dollar value you have in Signal today (plus what looks like a 15% premium on the share conversion today)...

What is not to like here...alternative is to sit and hope Signal does not go bankrupt....they would dilute the company to death just servicing the debt and not be able to advance Goldboro as quickly as this new merger plan suggests.

Signal did not sell MAE....they did via Anaconda Mining tried to buy it for 16 cents...and ya look at the price of MAE today...0.06...would have been great if they did buy MAE for 16...Hammerdown would be going thru the PR mill today I suspect....sad...but MAE will probably get there after the 10-1 consolidation

I agree there are a lot of positives behind the merge and that the synergy is better with NEXG than staying alone. But perhaps there is other alternatives than the "sit and hope".

You are referring about the (unfortunate) fate of the merger between Anaconda and MAE. I agree with you that it would have been such a good thing would they had combined their synergy! But I remember too that Anaconda had to initiate a second deal as MAE's shareholders (and BOD) were not supportive of the deal. One will say that Anaconda did a hostile bid at the time and that the NEXG/SGNL is friendly (Kevin Bullock will even be sitting on the CEO chair of the new company), so we cannot really compare between the two. I agree that the context is different, but...

SGNL retail shareholders owns a big part of the company and they can do a difference in the voting. I have mixed feeling right now as I feel that we can get a better offer. Morgan Lekstrom is spinning the story about how great is Goldboro and how it's great to have a royalty free deposit with that tremendous potential, but I think the merger offer does not reflect that important contribution. They sound like THEY really need us so my take is that we might be in a position to get a better offer if SGNL retails vote against the current offer. As what happened with MAE when Anaconda neded to raise it's first offering. 

I'm glad you express your opinion GoldNHill, as your arguments might drive me toward the YES since you added some elements in the PROS for NEXG, but on my side, I will decide in December as there is still a lot of things that could happen.
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