It totally depends on each individuals original investment capital outlay. If I had 6782 warrants derived from owning 67700 ANV shares purchased at an average of $12 per share, you’d have then outlayed $812,400 you’d need the warrants to trade at $124.23 to break even! 6782 x $124.23= $842,528! ( includes strike price) Do you see the problem a lot of old shareholders have now? What if you bought shares at $16, $29, etc etc? It’s a total and utter fraudulent disgrace!
To be fair I’m not in that boat admittedly as I got in at $1.10. But I even need to see the warrants trade at $14.77 just to break even, bear in mind I’m a pound sterling investor so a weaker pound is more expensive for me! But for the warrants to trade at $14.77 ( remember our warrants represents just 17.5% of the equity in the new company over and above the adjusted equity figure). The company would have to be worth billions for even that to happen.
Its just a total disgrace. This is a gold and silver mine not a shoe shop! Their situation can change in a heart beat with higher gold and silver prices as has proven to be. They’ve bought themselves 3 years of time with this charade. They must be getting some good deal from the hedge funds out of it. Management owned 8M shares of ANV between them, when gold was last at $1900+ their share price was $45, that’s $360 m!
I’m disgusted with the whole thing. Hopefully someone walks into Buffingtons office and pulls a trigger!
