Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

The Calandra Report: Colt Resources' unusual financing

Thom Calandra Thom Calandra, www.thomcalandra.com
0 Comments| January 24, 2014

{{labelSign}}  Favorites
{{errorMessage}}

This just in from Nikolas Perrault of Colt Resources (TSX:V.GTP, Stock Forum), who just fashioned an unusual financing for a Middle Eastern unit of the Portugal-centric prospector: "38% of Newco goes to existing shareholders ... with this transaction, which should likely be fully funded."

The financing looks strange on paper: a 15-cent subsidiary share price for a unit that won't trade publicly. My take: as metals equities continue to heat up, a kind of mother-hen effect will charge shares of companies with "hidden" or unreachable assets to the public market.

Until they get spun off or sold or otherwise liquidated, one thinks.

Nikolas tells me from Lisbon, "Colt has little or no downside, is largest shareholder and has huge upside." Well, that is a self-delusional CEO speaking, and I say that kindly of Nikolas, who appears close to wealthy China and Hong investors, and now has a Middle Eastern backbone of aficionados (Afghanistan, Dubai and so on) in place.

I expect some who want nothing to do with the Middle East to sell their Colt shares, a TCR 8 member. I own it.

"Essentially we have incubated and paid for what we believe could be a very valuable call option," he says. Nikolas and other executives and existing funds in the stock are taking some of the small placement.

That is all, except to point out a few breakaways Thursday as gold, uranium and platinum equities make a bold move higher -- silver, too.

OKAY, so these are not the mega-one-day gains of a Danny Deadlock Ticker Trax favorite, Primary Petroleum (did I read that 100 percent percentage gain correctly for PIE in Canada? Yes...).

Still, one need not be a KEEK-geek as is the case with Primary PIE to see gains these past several weeks in natural resources, including our own coterie.

Chart breakouts appear in place now on the up and up for Pilot Gold (TSX:T.PLG, Stock Forum), which has been a press release machine for Turkey and Nevada prospects; many of the uranium equities, such as Energy Fuels (TSX:T.EFR, Stock Forum); Wellgreen Platinum (TSX:V.WG, Stock Forum). There are others: Pershimco (TSX:V.PRO, Stock Forum), for one, a Panama mine builder that is looking for 2016 production; Paramount Gold (TSX:T.PZG, Stock Forum) for another.

I don't chase breakouts, but I know some of our TCR family -- and Stockhouse audience -- does.

Finally, this also just in, from Gold Standard Ventures (TSX:V.GSV, Stock Forum): more drilling assays from Nevada. I think GSV will need to show that the north bullion zone of Railroad can show low operating expenses, no matter what class of gold-silver mine its principals are sketching out. Recent metallurgical tests look good; I own it.

THE CALANDRA REPORT: Subscribe*
$101 yearly

Thom Calandra
@thomcalandra for Twitter





{{labelSign}}  Favorites
{{errorMessage}}

Get the latest news and updates from Stockhouse on social media

Follow STOCKHOUSE Today

Featured Company