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Give this, say, a timeline of a year:
We merge with Cornerstone.
The dust settles.
We sell Cascabel alone to one of the big boys.
What price would we likely get for Cascabel?
Where would the cash go - into SOLGs coffers or straight to us in the form of a special dividend?
Once that is done, with Cascabel offloaded and the cash from the sale safely in our pockets, what value would SOLG have in terms of MCAP?
This is certainly what I'd like to see - Casabel sold, the cash going straight into our pockets (not held by SOLG as it may be discounted in the share price if all they are going to do is spend it eventually) and a leaner meaner SOLG emerging from the other site, exploring and developing our other concessions, fully cashed up and reverting to the explore--prove up-sell model of the early days. That way, we get some reward but the story can continue
If Cascabel was sold, its safe to assume a large portion would be retained as funding for other tenements, and a reasonable percentage would be special divi.... but there are 2 problems with that.. Mather mentioned on multiple occasions there were heavy tax implications, in the small print of the legals, re any sell off of Cascabel... and the Market currently prescribes Sod all to our other regional exploration..
meaning we would be left with a very small Market cap... but fully funded... with no guarantee of any big finds. Tier ones are as rare as Rocking horse crap.. so the chances of finding more are tiny.. regardless of what the overly optimistic would have you believe
Plenty of twists and turns ahead .... for instance... what if NCM or BHP make CGP shareholders a better offer? Would anyone have the b@lls to buy CGP based on SOLG's $3.5m clause? Well, if they can stump up the $400m+ of costs... the answer would be yes.
Whoever bags CGP, also bags 6.7% of SOLG shares.
One last thought, this deal potentially brings in the blocking shareholding that we needed for low balls. So post the deal CGP have 20% and BHP and NCM drop to just over 10.3% each?? Now, post that deal, it's feasible to do an equity raise with BHP and NCM and they might only get back to the 12 or 13% range at best. Now that's how you keep some protection and ensure you troublesome shareholders don't bag more % holdings.
Lots of 'power' moves around with CGP holdings. By securing their 6.7% of SOLG and the 15% ENSA, it puts SOLG in the driving seat again.
It's a cracking deal as it should ensure anyone making a bid has to do so on a proper valuation basis. Between Mather and CGP plus other possible friendlies, they have about 45%+. That's really powerful.
Again Jezzoo you are making me laugh.
You say BHP may buy it. But what are you referring to.
A box of doughnuts, or something else.
Can you not read Qwackers.
I said they BHP may buy
>IT<
And I know your aren't laughing !
Oh dear Jezzoo you must be the only person on here that doesn't get it.
Buy what.
Alpala
Cascabel
CGP holding
Solgold
Box of doughnuts.
Pick any of the above, or Indeed something else.
What are BHP going to buy.
Yes still laughing as it's clear you don't know.
>IT<
Qwackers
>IT<
Good grief !!
also worth noting that BHP's interest in ENSA (through SOLG shares) has increased. Previously they had 13.6% of 85% ENSA. Now they have around 10.4% of 100% ENSA.
But in 'power' terms... their grip has slipped. In fact, post the CGP deal, the latter will be the largest sole shareholder. Almost the size of the combined NCM and BHP stakes.
So according to Jezzoo BHP are going to buy Solgolds I.T department.
Says it all really. ????????
Not increased, but decrease in ENSA is minor compared to SOLG equity stake.
Exactly fort …. Shift in power …. Bound to provoke a reaction lol
16's anyone?
I understand what you are saying ColonelDrake, but your maths is wrong as it's under 20% and taking into account the Solgold shares that CGP had that are now in treasury as they don't exceed ten percent of the market capitalisation.
My apologies for misleading on shareholders approval...
I don't mean formal approval, I mean BHP and NCM who knocked the cashbox deal on the head, so why would they let this go through...?
CGP up 40% values SOLG at 16p a share...
No other option
Tell me how they have no other option...?
Like a bid....
Or a sale of their stake to someone like Sumitomo...
Thats 16p cf 11p this am
Redknight, could you provide me with the factual link that states BHP and NCM knocked back a cash box deal.
Don't want to mislead on that too now do we?
So heres the thing...
Most of you on here believe this is a done deal...
If so, it values SOLG at LESS THAN the current price...so how is that good news...?
Because liek Quady you think that we can now take 10 years to develop Cascabel...really...?
No.
And first thing this morning hundreds of thousands of shares were being bought blindly while the deal valued SOLG shares at 11.4p...
So with the SP down approximately 20% from the highest price paid this morning, what are those people going to do...?
Which is why the SP is now DOWN on the day rather than 37% UP like CGP...
But being a contrarian, this is why I believe totally that this is a ruse to fluch out bidders; that the merger will never go through; that even 18.98 that I paid earlier will be a bargain; and that SOLG will be sold by the end of 2022 for north of £1...
Patience...
So if they didn't Colonel, who did...you're being naughty...there is no doubt there was a deal which was blocked...who else has the power to do that...unless it was Nick+DGR+CGP+Tenstar...?
Now why would they do that.....?
SOLG currently at the equivalent of 18.2p on TSX...means nothing...
Can somebody remind me if BHP still have anti dilution rights...?
Anybody going to answer this please?
Can somebody remind me if BHP still have anti dilution rights...?