Medinah Minerals (MDMN)

[GC Capitol]

I agree with you. The problem is that in this type of negotiations who ever cares less wins. Unfortunately we had no money, no share's and had basically lost all are sugar daddies that were willing to foot our bills, desperate times for Medinah.
Auryn was hoping to have a "major" investor almost immediately as their situation changed as well losing some major backer's of their financial well being. Medinah also had an interest in keeping Auryn financially sound so they had money's to be able to prove up the mountain. To protect our investment and to keep Auryn working on the mountain, we took a major stake in Auryn with a way to buy-in more should they hit paydirt or in this instance gold.
Meanwhile, Medinah also had to have a reason (this is speculation on my part), not to hand over all the cash (should it come) to the shareholders, their way of keeping large cash deposits to reinvest in Auryn. In my mind's eye I was more concerned that it was for a more diabolical reason and after the share disaster, I'm not sure I was wrong.

I'm pretty satisfied that we didn't get the upfront monies as I'm sure that it would have walked with the share's as well. I would have loved a cash dividend, but that was never going to happen.

HR... Had a great find, please read his post. We may have wanted to consider the buy-in but our situation has changed as well thanks to Les.