I support your attempt to quantify the dilution, however, using your example, if FWR held nothing but an equal amount of cash to the cap. ,the dilution would still come out at 35%. Since that cash reduces NOT's share issuance needs , avoiding future dilution, I would put the the effective dilution more at 25%, about one third less. These companies have only cash and rock, so I think that adjustment is fair.

My bigger concern is that NOT has opened a can of worms of sorts that either results in a competition it cannot win (and may not want to) , or its JV partners gaining some critical mass. NOT itself will only come onto the blocks when the control group wants that. This is maybe a good first step in getting some more interested parties into the open. Regardless , CLF's toehold may turn into a footprint.