I see the link is dead. If you click on the Chart on right and takes you to news info page and detailed chart. Off to the left is Market Pulse, Message Board is greyed out and can't click link. Few weeks ago all the Market Pulse links was completely removed for a good week and now it's back
215, robey doesn't understand the agreement. I don't have special ed training so there is no way to help him. The loan from CDE is to PZG not Spinco. Funds are contributed by PZG to Spinco not by CDE to Spinco. Robey reads this and even posts it but can't grasp it. Reading between the lines is an opinion not a fact. Best to ignore his ramblings. Inaccurate best describes his post.
no-i will bring it up next time i speak to i/r--i posted here for years that coeur would buy san miguel onlt by breaking away from sleeper-never comprehended a merger-i actually thoght franco would be in the mix
The lawyers have all been trolling. Not likely to generate enough interest to make it worth their time. That being said, who knows what might happen.
You bring up an interesting point that puzzles me re: the loan to PZG. What happens when to the loan when PZG becomes Spinco? Do we the stockholders somehow pay back the loan to CDE in the process of becoming Spinco? Is the debt forgiven when PZG is no more or does CDE gain a larger share of Spinco in return for the loan? I don't see the loan terms addressed anywhere. Did you see anything on it?
Using 10:1 as example only. Have no idea how it may come out. 10:1 RS would reduce outstanding shares to 16.7 mil 30:1 would reduce to 556,000 shares. Don't think they will do that.
fifty-the loan or capital contribution as it is then called does that have any attachements to it.iassume not but you seem to have your finger on this one-thanks-------next do you see any roadblocks in legal area,one lawyer is too many this amount will consume each other-according to i/r they expected and are prepared for this reaction--
It had better be more than 10:1. 1.76 isn't high enough. If you did 30:1 you could get it to 5 dollars. If you are going to RS at least accomplish something while doing it. Plus they need more capital which they will issue shares for... you can't do that at 1.76.
not bad on quick look,cash in bank and royalty hacket river make this very interesting-no debt-thanks---
Yes, the mining sector is really downtrodden right now, just starting to pick itself back up. SO many juniors are practically being given away - and that is where the largest gains will be in this next upleg. I know you're high on CDE, but after extensive research I believe the best investment right now in the PM sector is Sabina Gold & Silver (SGSVF). They are sitting on a 7 million oz gold resource with lots of additional exploration potential at various sites in Canada. Stock is trading at over a 95% discount from its 2011 highs. No reverse splits, plenty of cash in treasury. It will be just like PZG or SVBL (takeout target) unless they decide to JV the project. They may even go it alone if they get the financing. Check them out if you haven't already.
Sentiment: Strong Buy
Regardless of what is posted on the message board, none of us know what the new company pps will be. Simply put it is PZG without the Mexico property. What is Sleeper and the other properties worth? Gold in the ground, especially low grade ore isn't worth $1200 oz. Valuation using CDE's purchase price of 4.9% of the shares isn't accurate. Speculation is all you'll get on this message board no matter how it's presented. The overly optimistic incompetent in their own way are as bad as the Nay Sayers.
Should you have any doubt, I would love to see Spinco come out high. 30 minutes later, I'd be a former stock holder.
No it isn't included in the current PZG share price. I've stated several times before that Spinco may issue shares far less in number than PZG as a "reverse split" type of transaction. 10:1 reverse would make Spinco come out at $1.76 and you can divide your current share holding by 10 to find out how many shares of Spinco you will have. I have no information on this but given PZG's history of buying property with min cash and balance in stock leads me to believe the same players will play the same game at Spinco. Start with fewer outstanding shares and dilute them with property purchases same as was done at PZG. Think about it.
I agree with your calculation and considering CDE's stock price, the ~17 cents is not counted in current PZG share price?
I thought you were optimistic now I realize you just didn't comprehend that portion of the agreement. "Comprehend means to take in the meaning, nature, or importance of; grasp" Have someone read it to you several times slow and you may get the fact that $1,470,000 is the purchase price of for 4.9% of the Spinco stock. $8,530,000 is a loan from CDE to PZG. ( Loan means the grant of temporary use or in this case a capital contribution) ".A capital contribution is a contribution of capital, in the form of money or property, to a business by an owner, partner, or shareholder"
You shouldn't take credit for the numbers used but you definitely deserve credit for the lack of knowledge in how you used them. A company that has $10,000,000 cash is not valued at $200,000,000.00 no matter how you do the math. Try to focus on the fact that 4.9% of spinco was purchased for $1,470,000.giving the value of spinco at less than $30 mill/167 mill PZG shares equals a share value of 17.6 cents.
Stick to giving definitions. While you aren't very good at that you're even worse at math.
I’ll address first the `optimism’ you attribute to me:
1 - Optimism is a feeling; granted, a positive feeling
2 – Positive feelings have been identified and labelled by the `short and distort crowd’ as a `pumping’ action.
3 – Pumping a stock, (in the markets) according to the `short and distort crowd’ demands said `pumper’s’ intelligence be denounced. And naturally/obviously, (according to the `short and distort crowd’) said denouncement leaves them as the ones to believe, the ones to follow.
I cannot take credit for the numbers I posted. Coeur set the value for Paramount and SpinCo when they agreed to and announced the terms of the ‘M & A’ agreement.
“From Sedar filing, December 18, 2014
The Merger Agreement provides that, prior to the Spin-Off, (1) Coeur will make a loan to Paramount in the principal amount of $8,530,000 and Paramount will contribute all of the proceeds of such loan to SpinCo as an equity contribution*”
*An equity contribution is an investment in an asset that gives an ownership interest.
Like it or not, Coeur, (and Paramount) designated where said $8,530,000 monies would be applied. Thus Coeur, by agreeing to terms, set the value of Spinco. $8,530,000 + $1,470,000 = $10,000,000 for 4.9% of SpinCo.
I like your optimism on Spinco but I can't agree with it. PZG was trading in the 70 cent range with the Mexico property and you have the value of the new company at $1.14 without the Mexico property. By your math, the less property they have the higher the stock price per share. I would very much like for you to be right but I just don't see how you can be.