Australia's largest stock trading and investment forum Australia's #1 stock forum

GUN

Click for more information

0.00%

1.1¢ gunson resources limited

do you believe its worth paying them out 2.5 million for the...

First 9 Last

Share
Profile

Follow
falcon347

2,435 Posts.

349

11/09/14

21:37

Post #: 13962206
Share

Originally posted by seals ↑

Btw it's not correct to say Strandline are getting anything for free. If I have implied that I was wrong to do so.

GUN's announcement today states that at the completion of the transaction and both placements if fully subscribed, the ownership of GUN will break up as follows:

Strandline Shareholders 24.7%
Current Gunson shareholders 53.5%
Participants in Private Placement 21.8% Total 100.0%

That means that Strandline are giving up 74.3% of their assets. There may be a debate about whether that's a fully balanced transaction but they aren't getting anything from GUN for free.

The balance of dilution goes to private placement participants. Some, if not all of this 21.8%, would occur anyway over the next 12 months and desirably would have occurred at the 1.7 cents raising earlier this year. Thus, in reality the dilution to Strandline shareholders is 24.7% which seems reasonable.

Expand

do you believe its worth paying them out 2.5 million for the tenements and a back door listing?

GUN Price at posting: 2.0¢ Sentiment: Hold Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

SS1

Sun Silver gets that drill to thrill feeling from high grade hits at Maverick Spring

SUN

ANZ deal to buy Suncorp to go ahead following approval from Treasurer

TBN

Tamboran is developing the NT Beetaloo Basin. To get there, it's listing at $36/sh on the NYSE

3DP

Pointerra wins US$1.63M from US Dept of Energy to model climate change scenarios

ABY

Adore Beauty buys up wellness brand iKOU for $25M cash

There are more pages in this discussion • 5 more messages in this thread...

First 9 Last

Add GUN (ASX) to my watchlist