Emblem Corp EMMBF

WARRANTS

[Sasha.Nik]

I'm really surprised that no body's pay any attention to warrants here. The potential leverage offered by the warrants at this price is nuts. Yet, the volume on the warrants is only few thousand. Crazy!

emc.wt is 30% below intrinsic value, and emc.wt.a have 20 months til expiry with srike price of $2.15, meaning ($2.28 x 0.8377) = $1.91 current aleaf share, and from $2.15, they're in the money with 20 months left to expiry at a price of .31c

What am I missing here?

[LAMBO]

so does the symbol change or stay the same for the warrants? thx!

[Sasha.Nik]

The release today says, it'll stay the same, soo

[brent11]

Yeah. I've been buying these up for awhile now. I guess investors just aren't aware....

[Sasha.Nik]

Can anyone verify if I did this right? After delisting of EMC shares, wararnts will trade under their old symbol. And the exercise price stays the same (eg. $1.75 for EMC.WT), however, the price will be based on ALEAF shares, so If ALEAF shares are say $2, then the warrants are .25c in the money? And when exercised, you will receive 0.8377 shares of ALEAF for every warrant? Correct?

[wrighton]

Your comments look good to me.  Once EMC is delisted, and you are buying warrants for ALEF, you will need to use that .8377 adjustment factor to determine any values Today, with warrant price at .37 and ALEF share price at 2.28, you are paying .37/.8377 + 1.75 =  2.19 if you exercise the warrants.  Better than buying the shares directly! By the way, there is significant leverage

[bg8ts]

FYI: emc.wt fair value 0.54, emc.wt.a fair value 0.66. https://canadianwarrants.com/values/current.htm#axzz5iXs9krM3

[wrighton]

Mistake in my last post:  1.75 plus .37 buys .8377 ALEF shares.  So for one complete share, you pay (1.75 + .37) / .8377 = 2.53, MORE than 2.28 for one ALEF share directly.  Sorry!

[ArthurVandelay]

Thanks for the correction, I almost replied with the same info this morning!  Still, I agree with you that they are a great way to leverage.  And hopefully in the money in short order.

[silversurfer1]

Hi there!  I have some emblem warrans and i was wondering if i will have to exercice them? or will they convert into some alef warrants with the 0.8377 ratio ?  cheers,