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Peggy Sue sounds like a professional individual, I am sure Peggy Sue will have a change in heart and vote down this ridiculous merger. Unless of course palms are being greased with gems of another nature...
Correct me if I am wrong, but I do not believe Corporate lawyers work for free.
I also do not believe financial advisor companys, like Blair Franklin Capital Partners Inc., work for free.
I am not an expert, but I do believe that all business combinations cost money to execute (i.e. fact checking, fees, meetings, registrations, plenty of expensive professionals, technical DD in some cases ....).
It leaves me wondering how much this business combination will ultimately cost Century Mining.
It leaves me wondering what is the loaded cost to Century Mining to execute the business combination as a percentage of the $3.2 million bridge loan.
It leaves me wondering how much of this bridge loan will ultimately be spend on the Lamaque operation.
It leaves me wondering what would the Lamaque operation look like had Century Mining not entered into this $3.2 million bridge loan and this business combination.
To be honest, I am struggling to understand how this $3.2 million bridge loan is suppose to save Lamaque if a chunk of it will have to go towards executing the business combination.
Honestly, as hard as I am trying to understand (and to be objective), I just cannot figure out the logic behind these moves.
Century Mining needs to get a refund from these dudes. I don't get how they came up with such a high price for White Tiger and come to the conclusion the deal is fair?
I don`t know for sure if they were responsible for the cautionary note below (below their ``fair`` statement) but, in my opinion, this is the type of note that would allow one to both ``play the game`` and ``cover their behinds`` at the same time:
``The board of directors of Century has received a written opinion from Blair Franklin dated March 11, 2011 that, subject to the assumptions, explanations and limitations included in such opinion, the consideration to be received by the shareholders of Century under the Business Combination is fair, from a financial point of view, to such shareholders, other than Maxim Finskiy and Francis Scola.
Century shareholders are cautioned that the shares of White Tiger have been trading on the TSX only since the end of December 2010 and generally in small volumes. Accordingly, the trading price of White Tiger's shares on the TSX may not be indicative of the intrinsic value of such shares. The Century special committee believes that the proposed exchange ratio is more indicative of the relative intrinsic values of the two companies than the current market price of each company's shares.``
4- the Pridneprov property is in the same region as Polyus Gold’s Natalka property currently being developed
5- the $4m bridge loan from WTG to Century may be indicative of the fact that Century is not currently cash flow positive as a result of lower grade and/or production volumes than previously forecast
6- if all Max Finskiy was after was 51% of Century, he could buy in the market
People here seem very confident that voting down the merger will yield a higher share price for current investors in Century. So these people must believe that the Lamaque mine is cash flow positive now for the first time, that all of the bad stuff is behind us, that Lamaque is currently mining around 1,200 tonnes/month at a grade of 3-4g/tonne, that Century can raise more outside dough (though as someone pointed out here, they weren't able to close on a $5m PP in November), and that Century can make some arrangement to repay the $4m bridge from WTG. They also believe that the Russian open pit mines have no shot at significantly increasing their NI 43-101 reserves over the next, say, year. So people believe that the sole purpose of WTG is to swindle share from Century shareholders, even though Max Finskiy could have accumulated Century shares in the market at prices below 50 cents, at any point from Jun 2010 to Feb 2011.
OR,
Century has not yet reached the higher grade gold and production volumes at Lamaque and putting these two companies together gives Century access to capital, more critical mass, diversification, and the shot of becoming a mid-tier gold producer.
that Century can raise more outside dough (though as someone pointed out here, they weren't able to close on a $5m PP in November), and that Century can make some arrangement to repay the $4m bridge from WTG. ----------
Century wouldn't need no stinking bridge loan from WTG (aka. Max Finisky) if Max Finisky had honored his CMM shareholder agreement from January 2010 and exercised the rest of his 25,000,000 warrants instead of dumping them Feb 2!!
Thats $15M worth of start up money Finisky owes to Lamaque and the shareholders of Century Mining. If he wasn't such a damn MISER, he wouldn't have cost us the North Wall expansion and $100M in market cap.
Finisky isn't willing to exercise warrants, but he's willing to hand out so-called loans through his propped up shell companies (all the while charging interest i'm sure!)
What a guy....i mean...loan shark! We'd probably get better terms with the Russian mob.
Little bit of a rant there, but seriously H.F.G., your analysis about Lamaque running hand to mouth are a bit simplistic. Who **caused** the hand to mouth by withholding funds?
I have absolutely no idea what the situation is right now. However, here is my interpretation with regards to (at least one of) their explanations of the Lamaque Flats (I think perhaps even as recent as the February conference call):
They were finding the Lamaque Flat veins, via in the open stopes, to be much more continuous than they had imagined (and many stopes were like this). However, a lot of the extra vein length accessed through the open stopes were of lower grades, relative to the 43-101 reserve grade. They decided to continue focus on mining the lower grade open stopes, instead of spending additional cash to opening up new Lamaque Flat reserves (potentially higher grade stopes).
The gold price is high which is more supportive of this strategy (assuming they can get high volumes (economies of scale cost savings) for the lower grade material). This strategy helps to take advantage of the high gold price, allow for greater tonnage to the mill thus supporting a quicker tonnage ramp up (albeit at a potentially a much lower grade, which would require greater tonnage to compensate), reduce the need for capital injection (especially given the low cash situation) and save the higher grade Lamaque Flats reserve ounces for later on (extend the mine life of the zone).
With regards to the Bedard Dyke, I think (previous to the early Feb. D. Major conference call) they had struggled to reach the ore body scheduled for mining (they were mining lower development grades prior to then). One of the problems encountered is they didn`t have the second access to the area (required by the ministry). Per Mr. Major in the early Feb. conference call, this had been was fully addressed. I believed they had gained access to the planned ore mining area and they had started with long-hole stope mining of the Bedard Dyke. I believe that all of the primary Bedard Dyke delays were fully addressed at the time of Mr. Major`s early February conference call.
Again, I don`t know what has changed since that conference call, on the mining front. The cone crusher problem was on the processing/milling side of the operation and they said that that has already been completely resolved.
Again, I was just going off the top of my head with all of these explanations / interpreations.
Excuse me for making an observation here, but there appears to be a bit of a conflict of opinion by all those in favour of this merger.
They say that the market does not make mistakes, it is always correct, if the market says that is the value, that that is correct, if the market say the offer is fair than it is fair, if the market says no it's not fair, than it's not fair.
My question to all of those in favour of this offer is, if there are 77,519,832 shares that say this offer is not fair and that number is only now getting started, does that not tell you that the market feels that this offer is just not good enough.
We the shareholders of Century are the market for this stock, and we say it's not good enough and that is that, we are not wrong we are correct because we are the market.
We are building a defense for every retail shareholder, not just the few who have voted "NO" so far, if we get a better offer, you to will benefit from that also.
So if you don't have the b*lls to join in and help us fight for our/your money, than at least stop criticizing our methods, it is not going to change anyones' mind here.
The same way that I do not believe that we can change any of your minds, since you really believe in what you have been told, we also believe that we are being screw*d by this offer, thus we will not let up and agree until a better offer is made and we are satisfied.
I have been a shareholder for more than five years and have seen this share price as high as $1.82 and as low as $0.01, so another downward move will not faze me, I will continue to hold tight.
We have almost enough shares to completely stop this merger, or at the very least have 5% dissenters to make it very costly for them to continue.
17 comments:
Has anyone been able to short these shares?
If we can't make $ on the upside, we can at least ride the downside.
I wonder if "THEY" are also doing just that with CMM seeing how it steadily gone down.
On another board, it was mentioned that most brokers would not allow shorting of shares with a price of less than $5.00.
From what I have since read on the web, that seems to be accurate.
Arbs are giving FMV of $ 1.25 to new Merger. CMM 0.50/.4 = $1.25 : WTG 3.15*.4 = $ 1.26.
CMM/WTG 310M @ $ 1.25 = Market Cap of $ 387.5 M CDN
------
And here the Financial post was saying the deal was worth $742M...LMAO!
Give up my CMM shares for 50c?!
There are going to be some pretty pissed off retail shareholders. Who in their right mind would vote Yes to this?
Peggy Sue are you still interested at 50c?
Peggy Sue sounds like a professional individual, I am sure Peggy Sue will have a change in heart and vote down this ridiculous merger. Unless of course palms are being greased with gems of another nature...
Correct me if I am wrong, but I do not believe Corporate lawyers work for free.
I also do not believe financial advisor companys, like Blair Franklin Capital Partners Inc., work for free.
I am not an expert, but I do believe that all business combinations cost money to execute (i.e. fact checking, fees, meetings, registrations, plenty of expensive professionals, technical DD in some cases ....).
It leaves me wondering how much this business combination will ultimately cost Century Mining.
It leaves me wondering what is the loaded cost to Century Mining to execute the business combination as a percentage of the $3.2 million bridge loan.
It leaves me wondering how much of this bridge loan will ultimately be spend on the Lamaque operation.
It leaves me wondering what would the Lamaque operation look like had Century Mining not entered into this $3.2 million bridge loan and this business combination.
To be honest, I am struggling to understand how this $3.2 million bridge loan is suppose to save Lamaque if a chunk of it will have to go towards executing the business combination.
Honestly, as hard as I am trying to understand (and to be objective), I just cannot figure out the logic behind these moves.
Re: Blair Franklin Capital Partners
Century Mining needs to get a refund from these dudes. I don't get how they came up with such a high price for White Tiger and come to the conclusion the deal is fair?
I don`t know for sure if they were responsible for the cautionary note below (below their ``fair`` statement) but, in my opinion, this is the type of note that would allow one to both ``play the game`` and ``cover their behinds`` at the same time:
``The board of directors of Century has received a written opinion from Blair Franklin dated March 11, 2011 that, subject to the assumptions, explanations and limitations included in such opinion, the consideration to be received by the shareholders of Century under the Business Combination is fair, from a financial point of view, to such shareholders, other than Maxim Finskiy and Francis Scola.
Century shareholders are cautioned that the shares of White Tiger have been trading on the TSX only since the end of December 2010 and generally in small volumes. Accordingly, the trading price of White Tiger's shares on the TSX may not be indicative of the intrinsic value of such shares. The Century special committee believes that the proposed exchange ratio is more indicative of the relative intrinsic values of the two companies than the current market price of each company's shares.``
"The trading price of White Tiger's shares on the TSX may not be indicative of the intrinsic value of such shares."
No shit Sherlock!
UNDERSTATEMENT OF THE CENTURY (pun)
(continued)
4- the Pridneprov property is in the same region as Polyus Gold’s Natalka property currently being developed
5- the $4m bridge loan from WTG to Century may be indicative of the fact that Century is not currently cash flow positive as a result of lower grade and/or production volumes than previously forecast
6- if all Max Finskiy was after was 51% of Century, he could buy in the market
People here seem very confident that voting down the merger will yield a higher share price for current investors in Century. So these people must believe that the Lamaque mine is cash flow positive now for the first time, that all of the bad stuff is behind us, that Lamaque is currently mining around 1,200 tonnes/month at a grade of 3-4g/tonne, that Century can raise more outside dough (though as someone pointed out here, they weren't able to close on a $5m PP in November), and that Century can make some arrangement to repay the $4m bridge from WTG. They also believe that the Russian open pit mines have no shot at significantly increasing their NI 43-101 reserves over the next, say, year. So people believe that the sole purpose of WTG is to swindle share from Century shareholders, even though Max Finskiy could have accumulated Century shares in the market at prices below 50 cents, at any point from Jun 2010 to Feb 2011.
OR,
Century has not yet reached the higher grade gold and production volumes at Lamaque and putting these two companies together gives Century access to capital, more critical mass, diversification, and the shot of becoming a mid-tier gold producer.
Ok... those are the two core beliefs here...
that Century can raise more outside dough (though as someone pointed out here, they weren't able to close on a $5m PP in November), and that Century can make some arrangement to repay the $4m bridge from WTG.
----------
Century wouldn't need no stinking bridge loan from WTG (aka. Max Finisky) if Max Finisky had honored his CMM shareholder agreement from January 2010 and exercised the rest of his 25,000,000 warrants instead of dumping them Feb 2!!
Thats $15M worth of start up money Finisky owes to Lamaque and the shareholders of Century Mining. If he wasn't such a damn MISER, he wouldn't have cost us the North Wall expansion and $100M in market cap.
Finisky isn't willing to exercise warrants, but he's willing to hand out so-called loans through his propped up shell companies (all the while charging interest i'm sure!)
What a guy....i mean...loan shark! We'd probably get better terms with the Russian mob.
Little bit of a rant there, but seriously H.F.G., your analysis about Lamaque running hand to mouth are a bit simplistic. Who **caused** the hand to mouth by withholding funds?
Does anyone know if a shareholder (or shareholding block) add an item to the agenda at the next shareholder meeting?
Proposal to immediately fire present Century Mining Board of Directors and CEO.
Replace with 75% Canadian BoD
was it not stated by Century that ore grades were low because they have yet to hit the actual ore bodies?
I have absolutely no idea what the situation is right now. However, here is my interpretation with regards to (at least one of) their explanations of the Lamaque Flats (I think perhaps even as recent as the February conference call):
They were finding the Lamaque Flat veins, via in the open stopes, to be much more continuous than they had imagined (and many stopes were like this). However, a lot of the extra vein length accessed through the open stopes were of lower grades, relative to the 43-101 reserve grade. They decided to continue focus on mining the lower grade open stopes, instead of spending additional cash to opening up new Lamaque Flat reserves (potentially higher grade stopes).
The gold price is high which is more supportive of this strategy (assuming they can get high volumes (economies of scale cost savings) for the lower grade material). This strategy helps to take advantage of the high gold price, allow for greater tonnage to the mill thus supporting a quicker tonnage ramp up (albeit at a potentially a much lower grade, which would require greater tonnage to compensate), reduce the need for capital injection (especially given the low cash situation) and save the higher grade Lamaque Flats reserve ounces for later on (extend the mine life of the zone).
With regards to the Bedard Dyke, I think (previous to the early Feb. D. Major conference call) they had struggled to reach the ore body scheduled for mining (they were mining lower development grades prior to then). One of the problems encountered is they didn`t have the second access to the area (required by the ministry). Per Mr. Major in the early Feb. conference call, this had been was fully addressed. I believed they had gained access to the planned ore mining area and they had started with long-hole stope mining of the Bedard Dyke. I believe that all of the primary Bedard Dyke delays were fully addressed at the time of Mr. Major`s early February conference call.
Again, I don`t know what has changed since that conference call, on the mining front. The cone crusher problem was on the processing/milling side of the operation and they said that that has already been completely resolved.
Again, I was just going off the top of my head with all of these explanations / interpreations.
"Does anyone know if a shareholder (or shareholding block) add an item to the agenda at the next shareholder meeting?
Proposal to immediately fire present Century Mining Board of Directors and CEO.
Replace with 75% Canadian BoD"
-------
This is what needs to happen.
Excuse me for making an observation here, but there appears to be a bit of a conflict of opinion by all those in favour of this merger.
They say that the market does not make mistakes, it is always correct, if the market says that is the value, that that is correct, if the market say the offer is fair than it is fair, if the market says no it's not fair, than it's not fair.
My question to all of those in favour of this offer is, if there are 77,519,832 shares that say this offer is not fair and that number is only now getting started,
does that not tell you that the market feels that this offer is just not good enough.
We the shareholders of Century are the market for this stock, and we say it's not good enough and that is that, we are not wrong we are correct because we are the market.
We are building a defense for every retail shareholder, not just the few who have voted "NO" so far, if we get a better offer, you to will benefit from that also.
So if you don't have the b*lls to join in and help us fight for our/your money, than at least stop criticizing our methods, it is not going to change anyones' mind here.
The same way that I do not believe that we can change any of your minds, since you really believe in what you have been told, we also believe that we are being screw*d by this offer, thus we will not let up and agree until a better offer is made and we are satisfied.
I have been a shareholder for more than five years and have seen this share price as high as $1.82 and as low as $0.01, so another downward move will not faze me, I will continue to hold tight.
We have almost enough shares to completely stop this merger, or at the very least have 5% dissenters to make it very costly for them to continue.
NSX001.
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