First Asset Morningstar Emerging Markets Composite T.EXM.A

News reaction + questions

[BruCrew]

Hi, gents. Just read the news. Said Hochschild has rights to offer on all our properties. No terms are mentioned. Is this at the 70/30 JV rate of the Moris mine JV or will the terms be decided in the future? Man I hope they don't allow this 70/30 split for all our most prospective projects. I guess I'm kind of disappointed in that all of our best projects will be JV'd and we'll be sitting around for a major to make news for us....and majors sometimes have more on their plate than worrying about our little company(and sometimes it benefits them if our shares stay low in price so if they do want to take us out, they now control the flow of news for the most part to keep our share price down). When I called the IR guy recently, he kind of already admitted that the company is basically just waiting for hochschild to make news for them and now it seems that this will be the case for the foreseeable future. I know alot of you gents like this JV type format but I'm not the greatest fan of it. I hope you guys are right and I am wrong but so far the muted reaction to this, at this point so far, shows that the market may not be that crazy about exm's part of the deal. Maybe the news just needs time to be spread around a little bit and then we'll get a better reaction. All JMO.

[coach247]

Hi Bru! You have raised some good questions, but my interpretation is perhaps more bullish than yours. The comment from Karl Boltz is as follows: "Hochschild will have first opportunity to make an offer on any of EXMIN's twenty-plus available projects." - ENDQUOTE Now to me that means that EXM has granted Hothschild preferential treatment when they choose to consider a JV

[BruCrew]

Hi, coach....hope everything is going well for you! Always nice to hear and read your takes(Sam's and others also). I hope you are right about retaining the rights for our best properties(Reyna)...I can live with that and stand corrected. Hopefully, that will be the companies mindset into the future for it's most prospective projects. And I do understand your feelings on the JV model