Some are posting that Azarga will end up acquiring BLR. Or, that this acquisition and financing deal is effectively a sneaky takeover of BLR. Who cares? One poster said in a huff that Azarga will end up owning BLR for 3c per share! Well, given that BLR was trading at .005c per share before Alex stepped up, 3c wouldn't be half bad!
I say don't worry about Azarga taking over because Alex & Mike are working together as a team to build a serious, integrated U.S. uranium company. They know other players like Cameco, Rio, Paladin and ARMZ are carefully watching the progress of Ablation. Alex WANTS the share price to go higher in case a larger player makes a run at BLR next year. And, Alex is a major shareholder, another reason he wants the share price higher!
Perhaps more important, Alex & Mike can buy more uranium assets with a higher BLR stock price as currency. They now have a mill to fill! Uranium One, (which no longer exists as it was taken over by ARMZ) didn't care about BLR stock, but A LOT of uranium juniors would gladly take BLR paper.
In any event, Alex has the convert at 1.7c, he can creep towards the over possibly over the 50% threshold no matter what the actual BLR stock price is. However, he wouldn't exercise the convert option unless BLR stock was comfortably above 1.7c. So, no need to worry about a possible sneak attack while the stock is under 2c per share (in my opinion). And, nothing is going to happen quickly on that front.
Given that Alex has funded and continues to fund BLR on very generous terms, I consider him a friend of the BLR, not someone to fear. It's easy to forget how terrible the funding market is when your junior company gets funded. It's really bad out there, really bad. And we got funded at a premium to market, with no warrants or options. If Alex were cut-throat, would he offer a premium like this?
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