Let’s all relax and wait for the Update to come out and see where that takes us
I’m saying I don’t think the option is going to get exercised nor will we get a CASH tender offer.
Based on this . . .
- what AMC has published so far in their news and project plan
- they own claims around the area already
- they have agreements on claims outside of MDMN / ADL (namely nuoco, caren, cdch)
- what LG has posted about AMC wanting to put their cash into the project
- what the overall macro environment is like
- what rumors I’m hearing
Here is my read of things . . .
- AMC goes into early production on the highest grade ore
- this may or may not be on claims MDMN has some ownership % in.
- MDMN gets some cut?
- AMC buys out or closes out deals on their non MDMN (ancillary) claims
- With production agreement, cash flow, and ownership of non ADL claims, AMC reverses into some shell on the Toronto exchange
- Some point after that and before the option exercise, AMC buys or merges with MDMN in some kind of non (or minimal) cash transaction and MDMN disappears
Obviously my read on this is all speculative. It is what makes sense to me given what I see playing out here and in the broader sector and while trying to make some sense of the rumors. Like all other times, things are subject to change.
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Moo to 7 cents- I and a lot of other people will loose a lot of money.
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Medinah has many significant buyers over the years and still has the interest from larger investment groups.
Unlike most MPers, they aren’t blind to all the positive developments in Chile. Build a mine and they will come.
Penny flippers will jump in as they always do when some momentum starts to build.
Auryn will be doing the promoting. They will likely be going public later this year and the sooner they get the word out about the property the better for them.
Yes…a pop to ten cents would be great for everyone here including yourself!
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In what your hearing will this be in the corporate update from Auryn that should be coming out soon?
FYI…the initial news from Auryn will not be the Corporate Update.
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No AMC corporate update is on the horizon from what I’m hearing. ::: all rumors, of course :::
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If Auryn merges with MDMN before hand there really would be no need to do a reverse merger into a shell company. They could simply keep MDMN as the surviving public entity and rename it Auryn. JMO
As of now, I am leaning towards the scenario that they attempt to list on the Toronto Stock Exchange. (Auryn’s Parent).
Agree with all of that. But that’s far different than a POP to ten cents that falls back. Slowly, steadily they build a mine. They don’t pour $100+ million into MDMN by exercising the option. Nor do they buyout MDMN for $200 million cash (say $0.15 a share.) They put that money into the project building infrastructure, exploration, early production, etc.
They go public in Toronto with a real brand (not penny stock flipping brand with MDMN’s horrible reputation.) Then they buy MDMN out with stock. moo
And a pop to $0.10 isn’t going to give the volume necessary for the 400 to 500 million shares that might want to exit at that level – the ones who might not want to wait around for a recovery in the sector or the ones who might want to diversify some of their holdings because they are way over invested in MDMN.
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Well it looks like today is mostly selling. I guess the market has heard all the good rumors.
Everyone would do themselves a reality check, if they read and internalize Wizard’s posts.
One last comment for people who are interpreting what I’ve written to mean we stay here at $0.017 while all this is happening.
I DO NOT THINK THAT IS THE CASE AT ALL. I just don’t think we’ll be seeing the wild spikes and drops that we saw during the Metals Boom and Ulander Deal Days that happened in 2010/11.
I expect our price will gradually and slowly increase as the sector turns positive and as AMC’s plan is revealed (whether it resembles the scenario I outlined or something else.)
And LG, that is EXACTLY the sentiment that I posted over the weekend (the post about the dust bowl that received the 20+ likes.)
BTW all this speculation about cashless or minor cash mergers or acquisition of MDMN has a few major hurdles before they could conceivably happen. The two hurdles that stand out to me are that Auryn will most likely need both voting control of MDMN shares and control of the BOD. JJ is probably the biggest thorn in the side of getting shareholder majority, and with the current BODs of three MDMN to 1 Auryn will make BOD control difficult as well. . I do believe Auryn will eventually get one more BOD seat, but I also believe that MDMN will never give them BOD control without the exercise of the cash offer per option agreement. So to some people JJ has been a problem which is probably true, but on the flip side he is holding Auryn at bay from simply steam rolling over all shareholders. This is not by design just by accident. JMO
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