I have no idea how the market will price the new company. The fact is that the new company is totally different to the one now being traded. Doing sums on dilution really does not work, except for establishing a break-even price, if we need to do that. I never set a sale price based on what I paid, for any share.
As it stands right now, MEJ is worth $10.85m.
SO the new company is worth that, plus; Add in $9.1m from the cap raising, Add in the total value of DigitlalBTC, which is unknown at this point. The market may be including some of its value in the current price, there is no way of knowing, unless the whole deal is called off when it would become very clear.
So the new company is worth $20m, plus whatever digitalBTC is worth ? Its value will vary a lot between now and end of May listing of new shares.
There no other similar companies to give us a lead.
Guessing its value now is tantamount to guessing the bitcoin price six weeks from now, - impossible.
For me all the value is in the managers. I've done an awful lot of research in the last few weeks and have found nothing to dim my enthusiasm for them. They have excellent records, proven ability, and have a lot their skin in this game.
The almost nil volume now in MEJ means that it is right off the radar, nobody is paying any attention to it at all. That means that there may be a flurry once the new company is 'announced'. There were over 100m shares traded over two days in mid-March. So if that kind of enthusiasm greets the new company, and the bitcoin price is strong at the time of listing, any number is possible.
The more I read about the whole bitcoin business, the more convinced I am becoming that it is here to stay.
If I'm all wrong, then I lose five cents......
The meeting notice is now physically in the hands of shareholders.
MEJ Price at posting:
4.8¢ Sentiment: Buy Disclosure: Held
