Ryan Gold Corp V.RYG

why vote no?

[tomgranite]

Ryan has $22mil in cash and investments and there are 117mil shares out. That is 19c per share. We are getting 1.88 shares in New Oban, so assuming it trades at 11c, that is equivalent to 20.68c. Why are people hoping for a better deal if the company is wound up?

[sherbrooke1]

This post has been removed in accordance with Community Policy

[Method]

My understanding is that the tax loss carryforwards can be applied in Canada as long as they are used against active business income in the same kind of business activity. OBM should be able to use the tax losses if they eventually have enough business income. Accountants would write off these tax losses for accounting purposes because there is no reasonable expectation they would be used based on

[tomgranite]

So if the deal went through, Ryan's tax losses could be used against production at Eagle Hill's Windfall Lake, as it would all be within New Oban?

[Method]

Theoretically yes but there are so many development costs in building a new mine so it would take a very high gold price to matter in the foreseeable future.