AI
Monday, March 29, 2010 6:45:51 PM
There is almost certainly more than one company in the merger (as indicated in PR's), plus all assets need to be included in the evaluation. Also, I don't think they will use all the shares available to be issued in the A/S for the merger.
One really can't evaluate it until the merger happens, as then we will have the facts. A/S doesn't mean anything, as they are only the authorization to release shares. If shares are not released into the O/S (restricted or not), then they don't even exist. These companies can change their A/S at will, and no value should be attached to them. They are not really an asset, neither tangible, nor intangible. The valuation is done on the O/S, but the O/S will change upon the merger, and that is what you are basing your numbers on. But we do not know the value of the companies to be merged, nor the amount of shares to be issued, so it's all just speculation at this point.
The valuation will come out somewhere between the two opposing camps, IMO
Either way, it's going up a lot higher from these levels, a whole lot higher!
GLTA
One really can't evaluate it until the merger happens, as then we will have the facts. A/S doesn't mean anything, as they are only the authorization to release shares. If shares are not released into the O/S (restricted or not), then they don't even exist. These companies can change their A/S at will, and no value should be attached to them. They are not really an asset, neither tangible, nor intangible. The valuation is done on the O/S, but the O/S will change upon the merger, and that is what you are basing your numbers on. But we do not know the value of the companies to be merged, nor the amount of shares to be issued, so it's all just speculation at this point.
The valuation will come out somewhere between the two opposing camps, IMO
Either way, it's going up a lot higher from these levels, a whole lot higher!
GLTA
Trade at your own risk always!
