Obviously the $2C would have to account for $55m in cash, but whether it assigns any value to the contract with BKP would be interesting to know. (Also, as this is an initial price, there is really no way to know what the market will end up valuing everything at until they start trading).
Does anyone have more specific details... for starters, how many shares they will be issuing around $2C?
PS: This in no way rings alarm bells yet, nor am I worried, but from the perspective of figuring out how this deal is being valued it would be useful to find out as CB suggests how much value the Canadians are assigning to the contract itself before drilling even starts.
BKP Price at posting:
1.6¢ Sentiment: ST Buy Disclosure: Held
