bullant gold limited

Assuming the USN takeover fails, where to from here?

Heres an idea from left field please feel free to critique this and tell me its a dumb idea.

What if ARD was to spin off Bullant into a subsidiary?

Lets call it Bullant Gold Limited. The charter of this entity would be to return something like 75% of earnings as unfranked dividends to its owners, with the balance to cover ongoing mine development and exploration within the Bullant tenements. When operational, Bullant should produce up to 25koz pa at around $400/oz profit. ie. $10M pa, and distribute $7.5M to its owners. And the mine life is about 5 years on current reserves, but of course the mine is open at depth.

Now lets assume ARD owns 85% of Bullant Gold Limited, with 15% raised via placement to shareholders or sophisticated investors. I believe it should be able to command an initial market cap of $30M based on current projections, which would mean that it is targeting dividends of up to 25%. That ought to get some investors interested. And the 15% placement would raise $4.5M which is more than enough to get the mine into operation.

USN would be offered an olive branch, in the form of an equity swap shares in Bullant Gold Limited instead of shares in Argent, and therefore a place on the board of Bullant Gold Limited. USNs interest in Argent is essentially for Bullant anyway, so USN gains direct equity in Bullant and its revenue stream via dividends.