The additional value for RED shareholders is that SLR pay out the debt owing and pay out the royalty leading to the RED portion of the merged business producing more profitable ounces.
Additionally, SLR would still have significant cash balance to fund any further exploration not covered by the $90mil recent raise by RED.
Synergies seems to be the word of the moment. I am not too concerned about existing synergies as I believe SLR could take hold of the whole area if they were to start with an operation as significant as RED.
Just my thoughts. Happy is you disagree.
SLR Price at posting:
$1.07 Sentiment: Buy Disclosure: Held
