So Doc forgive me for asking a stupid question...
Caj025,
The exchange totes out as follows (eg 11:30AM today):
34.76 LIEG shares at $.0284pps_____________ = $.987
1 BRGRF share at $.686___________________= ($.686)
Cash payable to LIEG shareholder to reach parity = $.30/exchange
16,000,000 BRGRF shares x $.30/exchange = $4,800,000 cash payable (prorata) to all LIEG shareholders which includes Uncle Posco.
If Bearing can find this additional $4,800,000 green cash to pay LIEG shareholders in order to reach "parity" (which the SEC will be watching like a hawk) before December 31, 2017 then the Merger-Day/Exchange-Day could take place without a huge class-action lawsuit I would think.
But if for example LIEG should jump to $.0568 on November 20 while BRGRF stays in the toilet at $.686 then Bearing would need to cough up $20,600,000 instead to satisfy their on paper debt to LIEG shareholders to reach parity which could prove to be a huge stretch for them.
34.76 LIEG shares at $.0568pps_____________ = $1.98
1 BRGRF share at $.686___________________= ($.686)
Cash payable to LIEG shareholder to reach parity = $1.29/exchange
16,000,000 BRGRF shares x $1.29/exchange = $20,600,000 cash payable (prorata) to all LIEG shareholders which includes Uncle Posco.
Some people could buy BRGRF shares today, but personally I would just stick with buying LIEG shares until we actually know if Bearing shareholders are going to even vote yes for the merger. In theory this question needs to be answered by December 31, 2017 or we could put Beering in violation of the agreement and scoop up all the seed money they put into the partnership thus far... which is my most fondest hope. Yesterday our group added more LIEG shares to our portfolio now that Fulin is in the picture. We would have done the same if RioTinto or SinoChem had made a similar move on MSB (Martin Borda).
The Doctor
