No - non whatsoever . Present valuation of this project is totally removed from reality. This is $100-200 million company in the making [Hot Maden ] Results like we had couple of days ago would see 200% gain in a day on TSX.. I will post Northland`s comments after resource estimate: NORTHLAND CAPITAL PARTNERS VIEW: The maiden mineral resource estimate of 3moz gold equivalent at a grade of 11.2g/t Au eq. is a spectacular achievement for Mariana Resources. Equally impressive is the narrow time frame in which the Company and its joint venture partner have advanced the project from discovery to this large and high grade resource in just six months. This discovery cost has been an exceptionally modest US$0.83/oz Au eq. In our last note (27.07.15), we compared Hot Maiden with Roxgold’s 90%-owned 1moz Yaramoko deposit that has an average grade of 15g/t Au. As we expected, Hot Maden has now demonstrated itself to be superior deposit. Roxgold currently has a market cap of £99m. Taking into account Roxgold’s 90% ownership it is valued at £101/oz Au, while Mariana is only valued at £19/oz Au eq. for its 30% ownership of Hot Maden. If Mariana was valued on the same multiple as Roxgold it would have a market cap of £91m and a share price of 11.9p (435% upside) for its 30% interest in Hot Maden, highlighting that the shares currently have plenty of head room at this level.
The shares in the spin off aren't exactly 'free'. The value of the original company has to go down in proportion to the amount being spun off. It's not so much giving 'free' shares as splitting the holding into two parts. =================================================
I have been with Marl quite a while but why would Marl just have a spin off to Canada and not some other country , I know it's probably obvious once pointed out , but ?? If anyone has time would appreciate answer on this
The likes of Brent Cook knows that if a spin off happens, on a certain day he can pay a dollar and get a dollar's worth of HM. For the likes of us, each pound invested in MARL is, say, 0.60 worth of HM and 0.40 of the rest. =======================================================
Brent Cook will be paying the same whatever you share is worth plus premium, which I believe it will happen. Mariana is split into 2 companies , let assume Hot Maden is worth 80% and the rest 20%.. IPO in Canada will be priced at $1 per share ( fictitious number). Assume 5 million shares issued at $1, so value of shares Brent Cook who bought at IPO and you who got Free shares through distribution are same plus you have Mariana shares on Lse as a bonus.
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