Re: Time is More than Money
in response to
by
posted on
Nov 21, 2011 04:01AM
Resource projects cover more than 1,713 km2 in three provinces at various stages, including the following: hematite magnetite iron formations, titaniferous magnetite & hematite, nickel/copper/PGM, chromite, Volcanogenic Massive and gold.
Hello Mtl_gold (again),
First you say:
“You’re taking a very simple situation and adding all kinds of unnecessary variables and nonsense to it in order to try and prove a point. First of all, it’s no secret that we got money for the shares we handed out.”
Second you say:
“I gave you an example, albeit an oversimplified one....It’s grade 2 arithmetic.”
Do you see the disconnect? First you criticize me for explaining what needs no explaining.
Next you admit that the whole central premise of your original message was “grade 2 arithmetic.”
Well, if that’s not explaining what needs no explaining, then what is it?
Your thesis is: If you cut the size of a $5 slice of pie in half, you’re left with a $2.50 piece of pie. In
fairness, that’s only Part One of your thoughts. Part Two is your idea that the reason the pie was cut doesn’t matter because the truth remains: After cutting the pie slice in half, we’re still left with the plain fact the undersized piece of pie remains undersized.
You can find the reason for “my adding all kinds of unnecessary variables and nonsense” to your (as you put it) “grade 2 arithmetic” in the title of my message, “Time is More than Money.” It is my theory that the “nonsense” of the “unnecessary variables” (which I’m guilty of introducing) are what we really should be focusing on. We should be moving beyond the “grade 2 arithmetic” lesson you gave us.
As I wrote earlier, when you have an entity diluted by approximately 25% (but with monetary compensation cutting the dilution event cost to 15%), that actuality alone isn’t the only factor we should be measuring. In the case of Fancamp, as I stated in my message, without delay, we should use the PP money to raise the share price before the inevitable takeover that awaits us.
Because of our mega undervaluation, before the unavoidable takeover attempt comes along, we need to employ every tactic we can think of (most of which cost money) to make it unmistakable to the market that we deserve a several fold increase in our share price, which will dwarf the 15 percentage points that are your only concern. I’m sorry if that confuses you.
I assure you I’m talking about the central imperative facts, which are not the “all kinds of unnecessary variables and nonsense” you think they are. Without any doubt, there are big companies who buy out little companies. They shed no tears for the previous shareholders who get nowhere near a fair percentage of the profits the new owners pocket. Again, it’s the title of my message, “Time is More than Money.”
As I warned in my earlier message (which you’ve mocked), it’s now or never. We cannot be complacent. Earlier I put the dilution loss of 15% in perspective against illustrative numbers, which demonstrate the dimensions of an early takeover and how much (arguably) it could hurt us. “If the price should be $10,000, should we be arguing about what management did wrong, which resulted in the offer being reduced from $125 to $110?”