GCY and FFR have just merged. At the time of the announcement in June, the implied value for each FFR share was .145 and there was 340m shares on issue including performance shares and options to be included in the scheme of arangement.
So in effect FFR was being bought out for $49m and they had a confirmed 196koz in the Melville deposit. That's around $250 poz in ground value to FFR holders. FFR hold other leases that have potential and GCY needed a higher grade feed for their plant, so they paid top dollar, just as DCN did when they acquired NTM at the beginning of the year.
BDC Price at posting:
6.4¢ Sentiment: None Disclosure: Held
