Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
BULM: Merged with Eurasian Minerals, Inc. (EMX). Shareholders will receive 0.45 of a share of EMX for every one (1) share of BULM. Cash consideration of $0.11 p/s.
http://www.otcbb.com/asp/dailylist_detail.asp?d=08/22/2012&mkt_ctg=NON-OTCBB
08:30AM 08/21/2012 Eurasian Minerals Inc. (EMXX:$1.89,00$0.04,002.16%) announced that the TSX Venture Exchange granted its final approval with respect to the company's previously announced merger with Bullion Monarch Mining, Inc.
Under the terms of the merger agreement, Bullion Monarch shareholders receive 0.45 of an EMX common share and US$0.11 in cash for each share of Bullion Monarch common stock held. The value of the total merger consideration paid to Bullion Monarch shareholders is approximately US$36.9 million.
Price: 1.80, Change: 0, Percent Change: 0
http://www.midnighttrader.com
Going to move over to EMXX board now that deal is done.
Done deal, merger closed Friday.
Anyone remember when we get our cash and stock?
Looks like the seller in the high 80s is either done or is taking a breather for today anyway. A few more fresh buyers and we're pretty much right back to where we started when the merger was first announced. There and back again. EMXX on a nice little illiquid move higher as well.
Received my proxy statement/prospectus in the mail today :)
Looks like its almost time for BULM/EMXX to wake up, finally.
Im a bit surprised BULM has not released an update to shareholders, like EMXX did... I thought maybe they would be required too?!...
Buying BULM is the smartest way to enter EMXX cheap right now and EMXX is one of the best bang for the buck junior miners out there imo, especially after BULMs numbers and assets dramatically improve their balance sheet.
PS: I betcha EMXX restates BULMs profitable Nevada assets at more than "0" in the books... This is the hidden balance sheet bonus that i bet no one is considering. It will make EMXX/BULM look like even more of a screaming buy than it currently is... cant wait for the first combined filing.
A few large orders just moved the ask up to 88 cents...whoever is picking up these shares at this price I think is getting a great deal. At this point, it's nearly a guarantee the merger will close and all BULM holders should get the cash / shares within 3 weeks or less.
We all know how thin this stock generally is, I'm interested to see how much buying power is behind these orders and how much higher they're willing to push up the price.
114,800 traded so far today.
We've turned over quite a few shares through the trading day so far. I suspect we've had a large order around 87 cents that has been looking for a bid. AVG 10 day trading volume of 15k shares and today we're just short of 100k.
By next week we should have the annual for BULM and quarterly for EMXX, so SHs will hopefully have a lot of new information to digest.
Yep just saw that, the arbitrage should now go away 100%, as it is a done deal 99%.
It's been a long wait, but we finally have SEC approval (see Eurasian filing this morning), barring any last minute surprises from the vote it looks like this should be done hopefully within the month. We'll just see how fast the transfer agents are in processing everything.
Cross posted on other board as well.....
The company's PR today on its Swedish exploration program I believe illustrates the attractiveness of the business model.
Per today's release and the key point:
"Designated Project and Regional Strategic Alliance exploration work is solely funded by Antofagasta."
Judging from the lack of price movement, obviously they didn't really hit anything of note, and they intimated they would drill other prospects within this designated project. Again see quote above, no money out of pocket.
Once this merger goes through and the company continues to acquire large tracts of exploratory lands, they will continue to find partners to fund drilling on promising properties (as they've proven they are able to do) and hopefully see some tangible results in time.
What is the appropriate price of this option? This is where I continually disagree with the current market valuation. FWIW.
both companies are being quiet, zero PRs because that would just cause more SEC headaches.
So my guess is that there is pent up news.
Typical. They don't like to take on people bigger than them or are actually important players in the financial system.
As you stated, I have every confidence that this will eventually get done. Hopefully we can get the sign-off before BULM has to report its annual results otherwise that's probably another delay.
I'm really anxious on any news from Haiti, whether it be drill results, mining convention news, etc. Depending on the results, this could make the price move very strongly in a short period of time.
Company says no problems, just SEC slowing the process down.
Have been there before, and it is the norm. The SEC turns a blind eye to corruption by MMs etc., then make legit mergers unbearably and unneededly complex and time consuming.
Looks like we have a reversal to upside for gold prices.
On the vote, actually has not happened yet but the votes are lined up.
There is no vote, it is a done deal. The main thing is sector has been killed up to yesterday. BULM is still an out perform since the merger. And BULM is still priced under merger price if it went thru today. 45% of emxx +.11 cash = .97
Yes they are way late. Give em a call.
all the stockholders, y is this board dead. did everyone leave the bulm boat or wat,, and does anyone know wats goin on with the merger, everyday the emxx price seems to tick down. at this price, wats the point of even getting into a merger,
I am planing to vote against the merger at this price level. wats the point of merger if they are buying the whole company for less than its worth. wat do we shareholders get. Bulm would do better on standalone basis.
did anyone talk to the management or anyone,,,if you have do share with us.
Gold Miner's Royalties Claim Needs More Input
By TIM HULL
(CN) - The 9th Circuit punted a royalties dispute between two gold miners to the Nevada Supreme Court on Wednesday, seeking advice on whether mining agreements fall under a state law against perpetuities.
Bullion Monarch Mining sued Barrick Goldstrike Mines for unpaid mineral royalty payments based on 33-year-old agreement between the firms' predecessors.
Bullion claimed the contract required Barrick to pay royalties on all its mining claims in the Carlin Trend, the state's largest gold deposit.
Barrick argued that such an area-of-interest provision violates the Nevada rule against perpetuities.
A federal judge in Reno agreed with Barrick, and Bullion appealed to the 9th Circuit.
The federal appeals court in San Francisco pushed the issue to the Nevada Supreme Court on Wednesday because it could find no controlling precedent on the issue.
If the state court finds that the agreement does violate the law, Bullion seeks to change it.
A three-judge panel certified the following question to the state Supreme Court:
"Under Nevada law, does the Rule Against Perpetuities apply to an area-of-interest provision in a commercial mining agreement?"
http://www.courthousenews.com/2012/06/13/47431.htm
With no legal background I have only a scant understanding of this decision, but it appears that the 9th circuit has punted to the Nevada Supreme Court on the question of Perpetuities. http://www.ca9.uscourts.gov/opinions/view_subpage.php?pk_id=0000012291
9th circuit very sympathetic.
Still listening, it is as if they are trying to help BULM's lawyer. Am encouarged by very positive tone from judges. They treat him like he is a nephew.
Been thru these things, they tend to get hung up by SEC with endless paperwork. Am not surprised it is still going on. Rather it be over put this is common.
Thanks that is interesting
The only regulation regarding mergers that generally comes to mind for me is antitrust concerns, which is irrelevant for this obviously. I really have no idea why they would have any reason to void this, but I don't think my opinion is worth much on this topic. I just have a hard time believing the SEC will get in the way of this, especially considering both companies seem to be on the up and up in regards to professionalism / filings / etc., so I think they would've been ahead of any potential issues.
Do you have any idea why the SEC still hasn't approved the merger?
Also, after listening to that hearing I'll be following that area more closely. Thanks for posting it here, Jolla.
Almost all small minors are getting killed lately; BULM has held up better than most so far, but probably not for much longer unless this merger goes through, IMO.
For me, this is still a long-term favorite, if nothing else.
I listened as well. The judges seemed sympathetic to BULM's arguments. But as one of the judges mentioned at one point, they've got a lot more problems even if they get through this summary judgment.
Also, folks should be aware, it looks like it's SEC who is responsible for the delay, my understanding is that the exchanges have already approved it. I'd encourage all who have questions / concerns to give the company a call at least before dumping into the seemingly weakening bid. Definitely increased risk now, so you have to do what's best given your own circumstances. FWIW.
link to the audio from the 9th circuit hearing on the BULM vs Barrick case. I don't have a legal background, so I can't comment, but the arguements are mundane, but strangely interesting. http://www.ca9.uscourts.gov/media/view_subpage.php?pk_id=0000009200
Execution is scheduled!
Hi Invest, BULM stock is only gold stock I have that has not been killed in 2012.
Thanks for Haiti article.
Thanks for the analysis. After reading this article on exploration in Haiti, I am starting to think you are right and my pessimistic attitude needs some adjustment. I still own half my BULM shares and am considering buying more on dips. I sure wish the company would give us an update on what is going on with the merger. The silence is making me nervous like they have hit a snag or something. I am curious how they plan on working out the NEM litigation.
http://finance.yahoo.com/news/prospectors-ready-tap-haitis-buried-192529372.html
Agree, and that value is transferred to large extent to EMXX. And EMXX is better able to get value for it, better connected.
So I will hold EMXX.
BTW BULM did better than any other junior gold since announced because sector has been killed and BULM has not.
Good advice. Thank you bwldforbucks1
Definitely needs significant patience though. As any "big" gains that might materialize will take a long time. The other factor I'm looking at is how the gold price reacts to all of the macro events going on. My thesis has always been a breakout in the spot gold price, should "lift all boats", especially the junior sector, but we'll just have to see.
Very well put bwldforbucks1. It seems to me to be a low risk with potentially high reward venue to get involved in the mining sector. I think that it would be a very good base holding in most portfolios.
100% agree they are not receiving market value. My guess is EMXX even acquired them at a discount to the royalty as well. My discussions with the company as well verified that sentiment, basically acknowledging advancing these projects was beyond their skillset and the EMXX guys could do better.
Regarding your other prospects, I obviously can't comment on those nor is it my business, but here's my case on what makes EMXX so compelling in an absolute sense, obviously all my opinion...
I'm playing for a 10+ bagger and I think the business model of EMXX allows me to access that potential with the least amount of risk relative to the AVG junior miner.
I think of each mining project as a call option. I'm not a geologist so I can't judge the merits of their drill results, so I rely on MGMT credibility / experience and valuation. In this regard, I find EMXX unmatched. As MGMT expresses it, the MGMT experience you get for the market cap is top notch, but more importantly is the "price" for this access.
On the assumption the merger goes through, EMXX is currently trading at a post-merger cap of about $160-200MN depending if you use basic / diluted O/S. In line w/ a sum of the parts style valuation, let's remove the "known" assets that have a relatively certain value, those would be:
-BULM royalty
-EMXX cash
So from $160MN post-merger cap, subtract BULM royalty and EMXX cash which total roughly $90MN. That leaves us with all of EMXX / BULM properties (~150 globally) for a price of a $70MN cap. Now consider risk. EMXX doesn't spend much money, in fact after the merger they might not have to raise another dime, so that eliminates a lot of financial / business risk. And what does the SH get in return, 150 call options on PM / copper properties. If one hits even mildly, we're looking at probably multiples from here with time. If they hit another Pueblo / Resolution type of deposit, thats how I see many multiples being possible.
I guess I should have said that I am convinced that BULM is not getting fair value for its assets in the merger and could have realized a greater value by itself quicker than being tied to EMXX. I think that management sold out because they were getting tired not because they were convinced this was the best deal for them. They are selling the company essentially for a present value of the NEM royalty and nothing else. All of the other assets which held great promise are being valued at next too nothing. Don't get me wrong, I think its a great deal for EMXX, and EMXX has potential, but that potential is a long term story and frankly I think there are other juniors/explorers who are currently trading at bargain basement prices that represent a better opportunity for my money. In order for EMXX to hit it big they need to get serious with either Haiti or Austriala and neither seems to be making any significant progress. JMHO. Welcome all thoughts.
Once they announce / hold the proxy, and assuming it passes, which it almost certainly will as they have enough shares within the company to push it through, final completion shouldn't be far off.
EMX CEO stated in a recent interview he thought it would be closed by May as a FYI.
Just curious, why are you down on the prospects of the merger (and EMX)? I'm a bull myself and am always interested to hear the other side.
Also, check out post number 1923 above. It explains the merger and process there of...
I would guess that some type of vote would be needed, unless they already had a sizable number of shares in favor that were closely held by management and a few really large shareholders.
We only bought in about 4 weeks ago. I still like the new combined company. I feel that it has a lot of potential.
Only my humble opinion.
Don't they need to announce a special shareholder's meeting to vote to approve the merger? The silence is concerning. It should not be taking this long. I sold about 1/2 my shares a couple of weeks ago for $1.08. I'm not convinced that the Eurasian deal is so great.
Merger should be getting really close now.
1.13 current value (.45 EMX+.11 cash)
no but it is due just about now, from what was told just after the announcement.
Does anyone have an update on the merger?
It ended up being Haiti news, a PR is out.
Wouldn't BULM also be halted if the merger were to happen now?
EMXX Halted, News Pending
Probably something small like Newmont buying them for 150% preminum
Or might be close of the BULM deal
Followers
|
25
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
2142
|
Created
|
12/26/07
|
Type
|
Free
|
Moderators |
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |