Has management given or promised to give you (the owner) a clear case for this purchase and have they given you (the owner) the right to decide if you (the owner) think this deal is a good one. The answer is NO. A statement like "this is a Perfect Fit" is not good enough for me. This company's management team has gone out of its way in this and past transactions to ensure that the shreholders do not get the chance to share their opinion. I am not saying that this is a good or bad deal. If it is such a good deal, put it out on the table to the owners of the company and we will decide. If management owns shares, they can vote theirs. I want to vote mine, not them. I have been a hareholder in this company since it was Wheaton River. And the way management treats the owners of this company is horrible. My long-term shares are now sold and I'm out. This is the point of my message, not whether it is a good deal or a bad one. Obviously you missedit. Hope you do well in NY (Notice how I responded to you note without calling you names?).
What's laughable is your gullability. Better go back and read my message again. Maybe this time you will get the main point.
I seriously doubt that GG management cares one iota about the stock price, thus the shareholders. Look at their history... overpaid signifiantly for their last two acquisitions and fought in court on the last one to keep shareholders from voting on the transaction (and won). And you notice in this press release, management specifically mentioned that only the acquired company shareholders will be allowed to vote on this one as well. And at a 35% premium, I'm sure they will get all the votes they need. It must be really easy to be a management team of a company where you are not accountable to anyone. Anybody know how many shares they award to each other every year for all the good work they are doing for their shareholders? Nevermind,I probably don't want to know.
Good luck all.
...than what is disclosed under probable reserves. Based on equivalent ozs of gold(taking into account the silver), GG is paying over $1400/oz for it IN THE GROUND! Don't know how they can justify saying in the press elease this mine is low-cost. GG management just made it a high-cost mine (at least from a shareholder percpective). Although when management pays a 35% premium for an company you wonder how much they care about their shareholders. Just my 2 cent.
I'm certainly not an expert in geology but looking at the Penasquito drill results that were released today, this mine looks much more like a silver mine than a gold mine. Gold grades are very, very low however ore volume appears high. Anyone care to comment on the results?
Add http to the beginning
Sorry about the link... I'll try it this way:
Anybody know any details about this?
Unfortunately I have to agree with you.
I have been a long-term buyer/holder of this stock and this last deal has gone completely against the strategy this company was following (and I was counting on for my largest investment holding). I have now sold all but a few shares at a huge loss.
Anyway, does anybody remember the button that Telfer and McEwen were wearing and showing off at conferences during the last hostile takeover attemp (I believe from Glamis!). It said something about non-accretive mergers or "dilution is not the solution"... I just don't remember. But obviously Telfer has lost his button and so if anyone has an extra one left over, please send it to him.
Also ask why everyone is getting to vote on the deal except the shareholders that are losing money on the deal!
Well, not at all happy with this move to say the least.
But, here is the way I see it:
1. Market on Wednesday valued the companies individually at:
Goldcorp = 12.74B$
Glamis = 6.48B$
Combined = 19.22B$
2. After the merger, the outstanding shares of the new Goldcorp will be:
Goldcorp = 418M shares
Glamis = 166.79M x 1.69 = 281.875M shares
Combined = 699.875M shares
3. Based on Wednesday's market value, the new Goldcorp share is worth:
19220M$/699.875M shares = $27.46 per share
Looks like the Goldcorp shareholder will be back to the old $27.50 while the Glamis shareholder will walk away with $46.40. Now that is a kick in the pants!
Our only hope is that the market will give us some "combination premium."
Best of luck to all,