Tronox Inc. (TROX)

[josh4580]

722,721 warrants distributed to 41.3768 million shares equals .0174668 warrants per share.

Warrant value range: $1.78-$5.17

Value per share: $.03-$.09


So 57.25 shares owned gets you one warrant worth $1.78-$5.17

Guys this is assuming 42% implied volatility. KRO implied vol is 65% now on 2 year ATM calls. But this is from a move from $5 to $40 per share in a year. A normal implied vol is around 25%.

Using this vol we get a value of zero to $.02. This is using the high and low valuation range in the plan.

Basically these warrants are worthless at the plan valuation.