West Red Lake Gold Mines Inc Com RLGMF

RLG merging with shell company????????????????????????????

[TyphoidMary]

So..........................................did we all just get bent over by RLG management??  what a clown show this stock has been

We're merging with a shell company and a massive share consolidation as well as 100 million new shares issued right before the merge....?  And what is the rationale that management gives for how this will benefit the existing shareholders??  Zip,  zero, nada........no rationale or explanation given whatsoever.......   They halt the stock with just days remaining till the surprise merge,  explain nothing,  they don't even make up some story they just dont say squat.  the big middle finger to anyone holding shares all these years while they bungle the project year after year,  ...who takes 5 years to take trenching samples???  

So you google the shell company to try to figure out what those guys are into................and guess what, ...there's squat info on them,  they don't even have a website.  There's NO INFORMATION on these guys,  there's no plan,  no rationale,  zilch.

All these guys should be fined and suspended by the exchange

RLG shareholders, please bend over and grasp your own ankles

[BuyandGold]

Hi, I have exactly the same feelings. I was very much surprised as well. Today I sent John Kontak an e-mail with already the things you mention. What is the motivation for this combination? Why there is no information on DLV or a company website? I intend to sell my position as soon as I receive the DLV shares in my broker account. I was a big mistake investing in RLG.

[TyphoidMary]

Good luck with that......I've contacted Kontak recently (before the news) and now this week. In the first message he misled me about the company's plans --completely leaving out anything about diluting the stock or consolidating the stock --  EVEN THOUGH HE WAS OBVIOUSLY WORKING ON EXACTLY THAT.  I'd be happy to post that communication from him,  he obviously intended to

[Luckierjack2]

If you do a simple analysis on the deal it goes like this.  DLV has a listing and $1,900,000 in the bank.  That's it, that's all.  It might trade with a $7.5 million market cap, but it trades by appointment.  The real value of the company to RLG is $1.9 million and zero value for the shell.  $1.9 million divided by 15 million shares is $0.127 per share. 

[BuyandGold]

When, for example I have 10k shares of RLG I expect after the transaction that I have 1.215 shares of DLV in return. Which I can sell on the market for hopefully 0,50 CAD minimum (last price traded) when the halt has been released. Is this correct or do I miss something? What will be the impact of this deal on the DLV share price? The dilution will have a bad impact probably.

[Luckierjack2]

  You are correct. The only risk is a number of RLG shareholders will sell. As my previous post said, tough deal for RLG.