Share SO / SP: how does Silverado compare to Spider Resources?

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MISH

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Share SO / SP: how does Silverado compare to Spider Resources?

posted on Jul 10, 2010 11:02AM

I received a PM that asks an interesting question of how the total Shares Outstanding / Share Price of Silverado compares to Spider Resources. From the Agoracom Spider home page there are 568m shares outstanding compared to ~2,000 m for Silverado. So Silverado has ~ 4 times as many SO as Spider. Spider has some world class Chromate properties and Silverado IMHO has some world class Gold / Antimony deposits plus a moth balled mill and a large amount of in place infrastructure.

Spider was bought out for C$0.19 a share ( ~ $125m ). Silverado's market cap is ~ $7m which values Spider at ~17.85 times Silverado's IMHO Fire Sale market cap ( $125 / 7 ).

We retail Spider share holders felt Cliffs is stealing our assets at $125m. I feel Silverado is much, much more undervalued than Spider.

Therefore we need to thank the shorters for giving us such an opportunity to load up at these Silverado fire sale prices.