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Mr. Snopes, Do you think this deal can/will be voted down in May? If this poor performance of SSO/SSRI continues, I will be voting NO. Do you think this deal is why Crown is selling rather than holding?
I raised my bid to .0882 and got filled before close, could go lower tomorrow but, not by much.
I've got one in for 10k @ .077. I don't think we will get filled, stock is performing well today, all my juniors are.
I went with CRCUF, here is a very informative interview with CEO from PDAC this month to introduce them to you guys. They are well on track to be a producer by end of year.
http://www.canarc.net/investors/media/index.php?&content_id=380
If this selling persists and SSO's pps stays stagnant for another month or so, I hope there will be enough NO votes to shut down the deal in May. It sure doesn't look like SSO's pps will increase much, if at all, once the deal is closed, I think it will do the opposite and drag CRJ with it, IMO not worth the risk. At this point the continued lackluster performance of SSO's pps does not compare to other recent buyouts, CRJ should have waited to get involved with a better company, at a higher price, easily attained, the big question is, why the rush?
Thanks GT & Seller08, I figured there might be some sellers that had already +doubled willing to sell on a dip @.09. The last 50K at the close cost me .094 but, it met my goal and also painted the close, so that was okay all around.
Yep, Great management with reasonable salaries, projected +/-$600 AISC, safe mining district, 20-30K ozs with mill capacity easily doubled, 7 year mine life, other high grade Canadian properties, rising gold, funds to complete mill on line including cherry picked work force, modest share count (191m). Currently no debt and cash in the bank, recent double in pps adds credence. Its all coming together isn't it!
Does anyone know of insider buying?
Half that volume was mine, all in @ .09, made my decision and loaded up today!
Oops mean't Teranga.
Found this on Tenegra dated March 8, streaming deal, recent PP and high share count are other things holding them back, seems like good entry point though:
Teranga Gold (OTC:TGCDF) is up 30.60% (was up only a modest 18.37% before today's pop), while Perseus Mining (OTCPK:PMNXF) is up only 8.57%. Hey, if you're looking for some "bargains", West Africa is where you need to be looking!
Teranga Gold
Teranga is a ~200,000 oz/year gold producer which operates the Sabodala mine in Senegal, a relatively safe jurisdiction compared to other West African countries.
As regards valuation, with an Enterprise Value of less than C$200 million, an Enterprise Value/Revenue of only 0.77, and Enterprise Value/EBITDA of 1.93, TGCDF holds up favorably compared to a Canadian miner, such as RIC, which has an Enterprise Value of C$343 million, an Enterprise Value/Revenue of 2.39, and Enterprise Value/EBITDA of 10.44.
Of course, the above valuations should only be used as a starting point for further due diligence. Any prospective speculator should study the press releases and dig into the financials a bit deeper, for sure!
With Teranga, you do have to consider the Franco-Nevada (NYSE:FNV) streaming deal that limits some of the upside potential.
From the Franco-Nevada website:
"In December 2013, Franco-Nevada provided Teranga Gold Corporation ("Teranga") with $135 million to fund the acquisition by Teranga of the remaining interests of the Oromin Joint Venture ("OJVG"). The OJVG owned the adjacent property which hosts several deposits representing future ore sources for Teranga's neighbouring Sabodala mill. With the acquisition, Teranga now controls a sizable land package of 1,055 km2 which includes much of a 70 km strike length along a prospective greenstone belt. Under terms of the agreement between Franco-Nevada and Teranga, Teranga will deliver 22,500 ounces of gold annually over the first six years of the agreement. Following delivery of 135,000 ounces of gold, Franco-Nevada will receive 6% of gold production that is sourced from either the Sabodala or OJVG properties. Franco-Nevada will make ongoing payments for each ounce of gold delivered equal to 20% of the spot gold price. The combination of Sabodala and the OJVG satellite deposits is expected to allow Teranga to reach its Phase I growth objective of 250,000 - 350,000 ounces (200,000 - 230,000 ounces in 2015) of annual gold production leveraging off of its existing mill and infrastructure. Longer term, Teranga is targeting as part of its Phase II exploration plans production as high as 500,000 ounces per year. During the fourth quarter of 2014, Teranga began a multi-year Mineral Reserve development and exploration program at Sabodala with a goal of converting some of its Mineral Resources to Mineral Reserves in addition to expanding the Mineral Resources."
Nevertheless, the current stock valuation for a proven 200,000 oz/year gold producer located in one of the better jurisdictions of West Africa does present a compelling investment thesis. Why are the shares lagging behind? This may partially be due to the company failing to meet production guidance numbers in Q3 due to heavy rainfall, and additional issues with artisanal miners faced in Q4 that reduced production by 13,500 oz.
The market may very well be operating in a "show me" state, waiting for these glitches to smoothen out before the stock is allowed to climb noticeably higher. Depending on an investor's interpretation of these recent activities, the glass may be half-full or half-empty with Teranga.
Perhaps some positive news, the company is backed by David Mimran, CEO of Grands Moulins d'Abidjan and Grands Moulins de Dakar, one of the largest producers of flour and agri-food in West Africa. A private placement was announced in October 2015 for 39,200,000 common shares of Teranga (the "Common Shares") at a price of CDN$0.58 per common share. As of market closing on Monday afternoon, shares of TGCDF were trading at C$0.64, not too far off from the private placement.
Thanks, I will take a look, did you see the 2.7 million traded after hours on TGCDF?
Well Geo, I've decided to diversify a bit on Monday/Tuesday and get my mind off Claude and still get in at the bottom somewhere. I will be diving pretty heavy into one of these four: GPL, CRCUF, LODE, SGSVF...I'm leaning toward LODE or CRCUF, the latter having more potential for multi-bag and way more shares for the same money too IMO. What do ya think?
NICE close on MTO huh!
Great...now we are tethered to another company that can't hold onto any gains, nuff said.
I see them 20% down, $1.50 if you look at Friday March 4 close of $6.69. I wonder if SSO share holders will be able to vote down the deal, they seem even more against it than CRJ share holders.
Geo, What about the 12 million dollar termination penalty, will it and how would it come into play?
Thanks for your response Geo, PPS not looking good this morning. I found this SA today, lots of discussion in comments, talk about being dragged into the abyss...I fear SSO may destroy this company.
http://seekingalpha.com/article/3957759-sorry-silver-standard-deal-makes-absolutely-sense
Metanor investor Sprott acquires seven million shares
2016-03-11 15:56 ET - News Release
Mr. Eric Sprott, investor, reports
ERIC SPROTT ANNOUNCES ACQUISITION OF SECURITIES OF METANOR RESOURCES INC.
On March 1, 2016, Eric Sprott acquired ownership and control over seven million common shares of Metanor Resources Inc., representing approximately 1.7 per cent of the currently issued and outstanding common shares of the corporation on a non-diluted basis. The acquired shares were purchased at a price of 6.3 cents per acquired share.
As of the date hereof, after giving effect to the acquisition, Mr. Sprott beneficially owns, or exercises control or direction over: (i) 30 million shares and (ii) 20 million common share purchase warrants of the corporation. Based on the foregoing, Mr. Sprott beneficially owns, or exercises control or direction over, 30 million shares, representing approximately 7.1 per cent of the currently issued and outstanding shares on a non-diluted basis, and 50 million shares, representing approximately 11.3 per cent of the currently issued and outstanding shares on a partially diluted basis.
The acquired shares were purchased through the facilities of the TSX Venture Exchange.
The acquired shares were acquired for investment purposes. Mr. Sprott has a long-term view of the investment and Mr. Sprott and any joint actors do not intend at this time to acquire additional shares, but they may acquire additional shares either on the open market or through private acquisitions or sell the shares either on the open market or through private dispositions in the future depending on market conditions, reformulation of plans and/or other relevant factors.
This press release is issued pursuant to National Instrument 62-103, the Early Warning System and Related Takeover Bid and Insider Reporting Issues, which also requires a report to be filed with regulatory authorities in each of the jurisdictions in which the corporation is a reporting issuer containing information with respect to the foregoing matters. A copy of the early warning report will appear with the corporation's documents on SEDAR and may also be obtained by contacting Mr. Sprott at 416-362-7172.
Geo, So basically from a CRJ share holder's perspective: Without the buyout CRJ is a low risk short term multi-bagger, whereas with the buyout SSO is higher risk, longer term for lesser gain. From CRJ's perspective: For the long term this is a good deal since CRJ now has backing to expand and careers and salaries are secured. From SSO's perspective: their profits will rise and be more stable due to an increased gold portfolio and to tell you the truth, I don't know what SSO share holder's perspective is.
Geo, good post, I think you transposed US1100 and US1500 at the end. Regarding your conversation with Marc Lepage the other day, what areas of the deal was he not convincing?
Statsmike and Hopeful200 had good analysis's on Yahoo Finance CLGRF message board.
The buyout was based on OSS close last Friday equaling C 1.65 which equates to 1.65 x .75 = US 1.23. If however SSO recovers above friday's close before the vote, CLGRF will follow that price increase above the 1.23 mark which is where I will start selling.
Here we go, back under $1 today I'm sure, can't hold onto any gains once again, even without the deal we should remain above $1 on our own merit, heck, we'll probably be back under .95 by the end of the week. Thanks management, brilliant work, really pathetic performance!
CWB, That is an interesting angle I had not considered, whereas Claude may be trying to draw market interest. At this point, if nothing changes I will be voting no as well. I agree with Geo's current to short term estimated value of CLGRF being in the 1.80-2.00 range max. May is a ways off, a lot can happen before then, if the value of Claude finally becomes realized by the market and the share prices of both companies recover and rise by any appreciable amount, I will be exiting my position before the vote. There could be some unknowns with Claude and the current up trend in gold may not sustain itself. As far as staying long with SSO, the company is a silver play in a much riskier mining district that would be outside my risk tolerance. This being my major holding, at this point there are too many other opportunities I would like to take advantage of. A lot can still change but, remember, don't fall in love with a stock.
What a miserable close on a miserable trading day, what an insulting blow by management, SSO and the market. Just when you thought it wasn't possible, Claude pulls another possum out of their hat.
This is precisely the reason I've been pointing out the under performance of the stock price lately compared to peers...it has affected market perception negatively, IR could have been on top of this.
SSRI should be doing damage control right now, defending the deal! If you look at LSG buyout by Tahoe Feb 8th, very similar, dropped for a day or two and then took off reaching current new highs.
You would think that this is the worst deal ever! Our premium will be gone by tomorrow at this rate. Typical Claude.
Gold $1270 majority of peers up 2%-8%, we are down 1% in morning trading on mostly buys, go figure?
Alive and kicking @ 1.27
MP, That's what I have been hoping for, did you comprehend any of what I posted, I'm not bashing, I'm just pointing out that there is room for improvement.
Wow, 5% gain on the day and we actually hung onto it, at least until tomorrow mornings 1st couple trades.
.018 gain state side, that's unheard of T!
CGR, now CLGRF is doing a great job except in the area of IR, I think that is why we experience such undeserved lagging performance, 10% pullbacks and so on compared to others right now...low inconsistent volume. Anytime there is a substantial daily gain, it seems to be pretty readily sold off, could be MM's, its hard to say. With gold now @ 1265, its just gets a little frustrating to watch such stagnant trading action in what is now such a great company. I'm in it for the long haul, +3 years so far, it will most likely be the case where we all of the sudden catch up and blow by some of the others I've been comparing to, and all will be forgotten.
You must be new to Claude, Ha, Ha.
I would tend to lean toward malfeasance as the reason over that explanation but, what do I know, thanks anyways Bob.
I'm not expecting straight up, I'm just comparing to others on my watch list that have at least doubled in the last couple months with out the lagging, selling and pull backs that this stock continually seems to experience. I think IR could do more to mitigate this instead of relying on third party entities to do their bidding. Case and point; when they released their earnings report on 1/7 it wasn't even published on all the normal media outlets. I got ahold of Marc in IR and he said that they had hired a new firm to disseminate their news releases, after our conversation, Marc realized this firm had dropped the ball and did a retransmission the next day, I mean come on, there is definitely room for improvement.
Our gains and bid/ask spread from yesterday mean nothing, right back down -.035 on a couple trades, if these impatient sellers could just ride it out, their profits would double. Just like CGR of old, while our peers soar, we can't hold onto any substantial gains.
NYbob, Can you explain this? More identical buy side trades on both exchanges:
9:53:25
24k
20k
19k
12k
9:36:17
115
7k
26k
I like what I am hearing NY, thanks for posting.
Yep, MTO hogging all the volume again, look at the way MTO hides millions of buy/sell volume in the "? Vol" column, that's probably where the bulk of MEAOF's volume is hidden.
Look at today's 9:44:21 trades of 18,000 and 30,000 on this site "Trades" MTO and MEAOF both show buys in those amounts.