NuLegacy Gold Corp V.NUG

The Price is Set

[Dudeforever]

This basically ensures that the share price will stay in the .11 to .13 range until May.  Frankly, this looks very much like a company that has no confidence in the upcoming drill results and is raising capital before bad news can derail the PP.  I hope I'm wrong.

[tbnorthstar]

I hope you are wrong as well:)

[alfino]

Dude, a tech company i'm invested in "set their price" at 35$ abour a year go... they are now now an 80$ stock. . What you are saying makes no sense financially or logically ..you can't sell shares to private investors on hypothetical future success.. that's what happens in public markets  when people pay for something high prices with no reason behind that price

[mrsgoldminer]

The opportunity for making money in mining stocks is far greater in the early discovery stage than when it becomes a producer

[Dudeforever]

It makes perfect sense.  I can phone Nulegacy right now and get shares for .125.  What incentive do I have, or any other investor, to purchase shares on the open market for significantly higher?  It's a large increase to the float and a reasonable supposition is that it's going to take 3-4 months to absorb the dilution before the share price forgets the PP and life reverts

[mrsgoldminer]

Well then your best bet is to look at TBLL drilling starts real soon and turn around time is very fast   

[Dudeforever]

To reiterate - I am a shareholder, and I hope I'm wrong.  I just don't see a path in the near future for share price growth.  I held a gold stock, ABRA, which went through a similar set of circumstances and it took a couple of years before it took off.  I eventually did very well on it but it required some patience (which is hard to have sometimes!).

[tbnorthstar]

Please reread the recent news release regarding the last two holes drilled. If the assays come back with measureable gold over decent lengths where do you think the stock will be? As far as the three to four month to digest the new paper, think again, the pp come free trading in four months:) Right now, this is a simple bet here, the next 16 holes will make or break the company. Like going to

[alfino]

I agree , but again it's rare that bunch of guys go and buy a pieace of desert , name a gold company on it and convince investors to put millions of Dollors into it.  Usually a great deal of research is done before anyone starts any mining company. Scams have happend before but this doesn't seem like one. But you are correct it is like going Vegas and my bet is 30% on their success

[tbnorthstar]

I have no idea on what the odds are of them hitting this year but it won't be for a lack of trying that is for sure. If they hit waht they are looking for 12.5 cents will be a distant memory.  And don't kid yourself, Barrick would love to get their hands on the property...for a song that is.

[Dudeforever]

I don't think the company is a scam.  Not at all.  My point is that it's become so diluted that until there is real and substantive news the share price will remain stagnant.  A series of great drill results will make everyone forget the PP but it's going to hang over the company for a few months (my prediction). I wouldn't be surprised to see a .60 share price by

[tbnorthstar]

That is what the market is for, to buy and sell. Have to say I fully disagree with you as far as the pp hangover. Take a look at Eskay Mining, they did a 90 cent pp and within weeks it hit 2.80, the market moves when news is good.

[BlindBoy]

It's true that the share structure is pretty bloated;  however, keep in mind that well over 1/2 of the shares are owned by institutions, corporate, major private investor money, and insiders, so the actual holdings by the smaller public shareholders is probably in the neighborhood of 240 million or so. That's still a lot of shares, but it's not a big deal if they actually "

[BlindBoy]

sorry -  looks like the chart would not post.