Value Microcaps Junior Miners

[dr_airtime]

LC - RIO.V

Thanks for the tip. I remember Bob Moriarty's big article on how the original Rio Alto team had knocked it out of the park bringing La Arena into production out of (financial crisis if I remember)? Great to buy a management team that brings assets into production.

I couldn't confirm RIO.V's market cap at the time of transaction so perhaps this is a source of the market under valuation of ATM.V. PR says ATM.V SHs get 0.6601 shares of 'Amalco' so you need solid information on market caps of both entities to do this. I get a combined 104mm market cap based on what I see vs. "170mm" in the PR at the time of the announcement (RIO.V SP @ 0.96).

Simplistically, RIO.V is down 10% since announcement which was at a 0.96/share so that implies "implied valuation of ATM.V of 0.95/share" has also gone down 10% to around 0.85.

I have a buy order in at 0.72 right now nonetheless.