I am interested in learning this as well. Must of been an insider at PZG with the intent to profit from the bump in share price. So far I am not impressed with the bump. More like a blip.
This is a time when preserving cash is king, regardless of how relatively strong the balance sheet. CDE has a solid working capital position but a fair deal of long term debt. Even when better prices return, it will take cash to build production levels. That is, the cash to be generated will lag the cash to be expended. This is not a good time to transact business in cash for CDE or anyone in the sector, IMO. You say "when" silver is 3 times higher.....that little word "when" is a salient one.
I agree with Robey. I think it is something that Couer has to do. Why not buy it outright now and then when silver is 3 times higher, it will look like a genius move.
An article released today by Seeking Alpha
"Paramount Gold and Silver (NYSEMKT:PZG) has announced the assay results from three additional holes, which were drilled on the Don Ese deposit which is part of the San Miguel project in Mexico. Drill hole 49 was an infill drill hole aiming at confirming the continuity of the mineralization between previously drilled holes. As could be expected, the result was positive as the drill bit intersected almost 16 meters of 2.59 g/t gold and almost 9 ounces of silver per tonne of rock. This includes a higher-grade intercept of almost 6 meters of 4.24g/t gold and 18 ounces of silver per tonne of ore.
Hole number 48 is professionally being ignored in the press release as the grades aren't that shocking (0.25g/t gold and about 2 ounces of silver per tonne), and hole 50 intersected multiple mineralized zones with some pretty decent grades. This year's round of infill and expansion drilling will help the company to get an even better understanding of the mineralized structure at Don Ese and will increase the confidence in the deposit, its geological model and the economics. Paramount plans to move ahead with a pre-feasibility study on San Miguel, which is expected sometime next year. Meanwhile, the company will continue to drill as it says the cost of drilling has decreased substantially. This could put additional pressure on Coeur Mining (NYSE:CDE), which is rumored to be pursuing an acquisition of Paramount Gold and Silver or at least its San Miguel project. This would make sense from their point of view, as their mine is just half a mile away."
Is this still a deal? I am confused as to why it is taking so long. Why not just let the public know that it's a deal and that things are being worked out. I am sure they have the basic deals now.
Thanks for the information shared, in your post.
I am and was aware of share swap; regardless, it still results in $$$ dollar value of each share.
My reason for comparing dollar value is due to date chosen by CDE to set values for each company.
If you have compared recent share performance of one company to the other you will know that performance of the two are similar; yet CDE performance does have days of superior performance compared to that of PZG.
complex question,i think you should go to coeur wedsite a listen to investerday toroto its archived and 1 1/2 hr top to bottom review -because this is going to be a share deal-know what you are going to get-as undervalued as you think you are coeur is more so-when pzg might have been 3.00 couer was 37.00 thats before 300mill preciosa and 60 milljoaquin purchase and 22 mill coeur capital---i will be buying pzg just to get coeur shares cheap-
Coeur Mining Inc., the biggest U.S. producer of silver, is in advanced negotiations to acquire Paramount Gold and Silver Corp.
Coeur not only wants PZG, they need PZG; a little research by investors will show this to be true.
I’m interested in finding out how much they (Coeur) are willing to pay for shares – I believe recent PZG drilling success will have a positive effect on establishing PZG value.
To all readers with parachutes strapped to your backs, (those with `short positions’ or `put calls’) don’t bother to ask me to jump off a cliff with you, my answer will be no.
He hasn't lost since Christ was a lance corporal. I don't see it happening now. The only ones who have lost are the cashouts. I'm inclined to follow his lead. Remember, at the bottom of every gold mine is a liar. Act accordingly
whats the scrap value of miquel only -not from the firm that tried to get your financing--the deal in all shares depends on value of cde--look at price of anv today at .80 and that was 40.00-look at their resources and production-thats what a unfinshed,debt ridden company can become in nevada
With news this morning I find it strangely odd that insiders who generally accumulate shares have been quiet nearly all year. At this low price one would think they would be selling the farm and grabbing shares with both hands. Unless of course, they are precluded from acquiring shares during negotiations of a sale.
Thats like saying the pos rusty truck on the corner is only worth 100 because that was a available that day. The truck has a minimum value... does it run? 2,000 is it just scrap? 500. The scrap value of this company is more than .68/share
Based on your numbers, how many shares of CDE and how many shares of PZG would someone have if they started with, say 10,000 shares of PZG?
.89 from what ahigh of 40.00-dilution and debt and unfinished expansion and recently ran into some bad ore that caused them to miss guidance -had to rauise funds at 1.00-unbelievable this story---