fortitude coup

Looks like MS has pulled off a massive coup with Fortitude.

We will now own 64% or so of Fortitude - and how did we do it? Through share exchange.

We will have transferred about 68 million shares to Fortitude at 30 cents - about 20 million dollars.

However in doing this, we have increased our stake to 64%, so CVI effectively owns $13 million of the trasferred funds!

So, increasing our holding in Fortitude from 40% to 64% has a net cost to CVI of about $7M - not the $20M value of the shares sent across.

Very impressive.