Hello “mike97,”

Your question:
“I am trying to decide whether or not to sell my CHM shares. What % of CHM does FNC own?”

Unstated in your question (even though you’ve given your intention) is your need to compare the cost of acquiring (or owning) CHM by straight out buying it directly as compared to the cost of acquiring the exact same position, indirectly, via purchasing FNC instead (now that FNC will be controlling a bigger block of CHM shares).

From the perspective of logically comparing values, your question suggests we should go shopping with the steadfast and out-of-the-ordinary determination of a hard bargain hunter. Let’s do it!

According to Quote Media, Champion currently has 105,214,205 shares outstanding. They will be issuing 14,000,000 new shares as part of the Champion/Fancamp deal, which makes for a new total of 119,214,205.

Fancamp owned 1,025,000 Champion shares before the deal. Add the 14,000,000 deal shares. That’s 15,025,000 or 12.6% of the new 119,214,205 Champion total.

According to Quote Media, Fancamp currently has 91,155,620 shares outstanding. We will be issuing 18,000,000 new shares as part of the Champion/Fancamp deal, which makes for a new total of 109,155,620.

So, post deal:
FNC will own 12.6% of CHM.
FNC will have 109,155,620 shares outstanding.
CHN will have 119,214,205 shares outstanding.

Being that FNC has fewer shares than CHN, each FNC share represents a higher company ownership position than the comparable CHN share. To make a direct one-on-one share comparison between FNC and CHN and make the company ownership percentages equal per share you need to increase the size (and cost) of each CHN share 9.2%. Yesterday, CHN closed at $1.30. To get a CHN share equal in size to an FNC share, you need to pay $1.42 for that enlarged-sized share of CHN. One share of FNC (which represents the same company ownership position as $1.42 of CHN) costs $0.29.

So, in terms of ownership percentages of the company, dollar-for-dollar, you get 4.9 times more of FNC than you do of CHN for the same money. So, FNC, dollar-for-dollar, compared to CHN, buys you 4.9 times the 12.6% FNC ownership it will be getting.

In terms of Champion, dollar-for-dollar, equal spending on FNC and CHN will get you:
61.74% Champion, the indirect way (buying it via FNC’s 12.6% times the 4.9 price differential) compared to getting 100%, the direct way.

In terms of Fancamp, dollar-for-dollar, equal spending on CHN and FNC will get you:
3.37% Fancamp, the indirect way (buying it via CHN’s 16.5% divided by the 4.9 price differential) compared to getting 100%, the direct way.

Fancamp’s revised market capitalization, including the new 18,000,000 shares, will be $31,672,119. The value of its marketable securities and cash, as I calculated in the middle of the day yesterday, was $35,973,047. Because our holdings of 15,025,000 shares of CHN and our holdings of 9,000,000 shares of RGX both closed one cent higher than when I made my midday calculation, the present value of our marketable securities and cash has moved up to $36,213,297.

The link to my earlier calculations follows:
http://agoracom.com/ir/Fancamp/forums/discussion/topics/531503-35-973-047/messages/1680356#message

You will note FNC’s present market capitalization is approximately $4.3 million below its marketable securities and cash total. You should not invest in FNC if you believe as the markets believe that our remaining NSRs and our remaining well explored and well documented properties have a very serious negative $4.3 million net worth.