Re: This is still a great property, but!

Welcome To The Inspiration Mining HUB On AGORACOM

The company is exploring for nickel deposits on its Langmuir property near Timmins, Ontario; for nickel-gold-copper on its Cleaver and Douglas properties; and for molybdenum and rare earth elements at recently acquired Desrosiers property.

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EB Farnum

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Re: This is still a great property, but!

in response to

Re: This is still a great property, but!

whaler

posted on Oct 15, 2009 02:09PM

Whaler,

OK I will reserve judgment until we get the details to figure out what form this poison pill will take, if enacted. There is no certainty that it will.

There are a few good things as well (some borrowed from the SH board)

1. It gives management time to find competing offers that maximizes selling price.

2. It protects against a corporate raid for the cash in the kitty.

3. Several studies have indicated that companies with a poison pill (shareholder rights plans) have received higher takeover premiums than companies without poison pills. This results in increased shareholder value. The theory behind this is that an increase in the negotiating power of the target is reflected in higher acquisition premiums.