Post by
wrighton on Oct 15, 2015 10:17pm
A perspective on the proposed new warrants
It takes 1/.0942 = 10.62 shares of CGJ to get 1 share of AGI plus 1 warrant.
The price of a CGJ share closed today at .63, so the value of 10.62 shares = 6.69.
The price of an AGI share today closed at 6.09.
That means the new warrants, to purchase 1 share of AGI at 10, are being valued at .60 each.
Previous warrants, AGI.WT, for purchase of 1 share of AGI at 28.47, and expiring a few months before the new warrants, traded at .20 today, and the share price is a long way from 28.47, so ther appears to me to beat least some optimism regarding AGI's share price.
Assuming a new warrant value of .60 today, a share price of $12 would value a warrant at $2.00, for a profit of $1.40, or 233%. A share price of $15 would give a profit of 733%. I suspect many folks would see the new warrants to be a bargain at .60, so the share price for CGJ might rise significantly from .63. Just an opinion, but fun to think about!
Comment by
HillsboroughMan on Oct 16, 2015 12:58am
Looked at their chart and noticed it stayed at $20 for years before everybody was taken to the wood shed. My conclusion--I would gladly take it all in the $10 warrants.