I can find AMI.TO on Google finance, but see no sign that I have shares of it in my TDAmeritrade account . Should have .4397 shares for each of my AGI shares.
And what about the spin off gold refinery (that was AUQ's) that we are said to be getting shares of? Should we see signs of those in our trading accounts yet?
AUQ and AGI have been heavily shorted as they approached their merger date (officially merged now, AUQ leaves the board as of Monday), so that weaker shareholders will drop out. The new merged AGI will start trading Monday and may start an upward trend if gold cooperates. The big surprise for me has been the lack of gold's boost due to the situation in Greece. Looks like the Fed has been keeping in down so as to not weaken the dollar.
I posted the target out of astonishment. It's either a typo or a fragment of an alternate universe. Going back to the original press release I noticed it was changed to no target listed.
Brokerage firm Citigroup Reinstates its rating on Alamos Gold(NYSE:AGI). In a research note issued to the investors, the brokerage major Announces a price-target of $132.00 per share. The shares have been rated Neutral. The rating by Citigroup was issued on Jun 2, 2015.
Sentiment: Strong Buy
I've saw the 6-K form posted on Google finance, but haven't received the real thing in the mail nor via my broker (to be filled out on line). How are we expected to vote on the merger? The 22nd is the deadline.
The new company, which I think will take the name Almost Gold, will have to absorb both companies' debt. They can't legally hide it. The other new company, built around AUQ's refinery could possibly be under the debt of the construction of the operation, since it's being spun off from AUQ. I think we'll know more once they send out the shareholder voting forms.
Thanks for replying. I bought shares on the ex-dividend date, so possibly I'm not considered the owner of record because there hadn't been settlement on my trade yet. Some sources of info say that you need to have settled by the ex date, buying shares a few days earlier.
Apparently the CEO of Aurico wasn't aware on how this merger thing was going to work. Now they say there will be a vote by shareholders toward the end of June, with merge happen....unknown?
For parity, AUQ needs to rise while AGI slows down its rise; otherwise AUQ shareholders will lose money on the merger.
No, AUQ should be priced higher. If the merger happened today, AUQ shareholders will loose $$ if it the half shares are prices were AGI is. The more AGI pulls ahead, the more screwed AUQ shareholders will be. I'm not sure if it's the market or some manipulation that's keeping the two stocks closely tied. But the ideal situation when the merger happens is for AUQ to be priced so neither shareholders are pissed off.
I've been following the daily prices of AUQ and AGI since the merger was announced. It's interesting that the prices stay in a parallel relationship, so that after the merger AUQ shareholders (who will have 1/2 their current shares) will have the same dollar value of new shares. Depending on the new AGI's value, current AUQ holders may see a slight drop in their total value. Hopefully the new company will grow to make up their difference. Of course it all depends on the price of gold.
The merger requires a vote by shareholders so you have the opportunity to vote no. After the first day's boost to the share prices of both stocks, it now looks like the price of gold will determine what the new stock price will be come May/June. It could be we get screwed by this, half the shares at a price no different than the current price, or at least bound in same same short seller range.
I'm not sure you're wrong. But if AGI goes to say $10/share before merger, its shareholders get the same number of shares worth, I assume, $10 plus a penning a share. The idea being to keep the same dollar value. But AUQ, which will be nowhere near $10 at the time of the merger, will also see its shareholders getting stock worth $10 share, but half the number of shares they hold in AUQ. So a AGI share at $10 = MergerCo $10. AUQ share= $10/2. This may be the same dollar value for total AUQ shares held; it's hard to say right now. But I assume that's how it has to work, similar to a stock split, where total value remains the same despite more shares.