The main risk I see is that EQX doubles down on their SO4...

First 3 Last

Share
Profile

Follow
Bolics

911 Posts.

240

20/09/21

16:15

Post #: 56212238
Share

Originally posted by Bwatson: ↑

No I'm not talking about buying this (if it ever relists), I'm talking about buying through the 2 alternative routes which are still trading.

I think everyone knows of our AIM LSE shares trading at 4.3 pence or 8.15 cents. I doubt most can buy there though, and I'm not sure if AIM owners can buy into a cap raise.

Alternative Option.
Just posting for anyone brave enough, EQX has 44 Million shares and 19.9M AUD. It is currently valued at 25.8M.

It is a dead holding company of SO4, so you're buying SO4 and cash. Their 2 iron ore projects which have been seized will never yield anything. So essentially for those brave enough they could take a stab at EQX to get SO4 shares for half price.

EQX market value - Cash = 5.9M (round to 7M (board fees over 2 years + small liabilities court fees))
SO4 Shares = 44M

Implied SO4 price = 7/44 = 15.9c/s

If you think it will open higher (and more importantly stay higher) then there's a play there. If it ever opens again that is.

I would personally not go for this play, but know some of the SO4 cheer squad here might be interested...

GLTAH DYOR

Expand

The main risk I see is that EQX doubles down on their SO4 investment. EQX put half their cash into SO4 and it has been torched. What if they participate in further SO4 raisings/bailout?? Big risk I think.

SO4 Price at posting: 31.0¢ Sentiment: None Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

ASE

Astute delivers high-grade lithium hits at Red Mountain

Friday's HotCopper trends: Renascor concentrate, Larvotto raise | July 25

ASX Market Close: Fading miners drag bourse as iron ore price slumps | July 25

Listen: HotCopper Wire Podcast 019 – Dreaming of the 9,000s

Rokeby, BHM, more: The 10 hot stocks HotCopper users watchlisted in Week 30

Most investors will get this earnings season wrong. Will you?

SGQ

St George banks $5M from placement to ramp up Araxá Rare Earths Project

RNU

Renascor produces graphite concentrate at Siviour, right on time to meet ex-China demand

FTL

Firetail scoops up untested land around Excelsior – including juicy mineralisation target

What is going on here? Watch out for DroneShield, Pure Hydrogen, and Nel ASA

First 3 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

The main risk I see is that EQX doubles down on their SO4...

Top Stories

Astute delivers high-grade lithium hits at Red Mountain

Friday's HotCopper trends: Renascor concentrate, Larvotto raise | July 25

ASX Market Close: Fading miners drag bourse as iron ore price slumps | July 25

Listen: HotCopper Wire Podcast 019 – Dreaming of the 9,000s

Rokeby, BHM, more: The 10 hot stocks HotCopper users watchlisted in Week 30

Most investors will get this earnings season wrong. Will you?

St George banks $5M from placement to ramp up Araxá Rare Earths Project

Renascor produces graphite concentrate at Siviour, right on time to meet ex-China demand

Firetail scoops up untested land around Excelsior – including juicy mineralisation target

What is going on here? Watch out for DroneShield, Pure Hydrogen, and Nel ASA

Featured News