Q: Hi 5i.
Coal Island Ltd., a (former)shareholder in Hudson Resources Ltd. recently disclosed pursuant to the requirement for an "Early Warning Report" that it has 'disposed' of 18,466,827 common shares in HUD for 'gross aggregate proceeds of $2,874,526.00' through the facilities of the TSX Venture Exchange.
Does this mean that HUD bought back these shares, thus having the same effect as any normal share buy back, resulting in there being less money in the company but fewer shares outstanding and thus more value for each issued share, and would that be where the money for the transaction came from? Or would there be third party hidden in here somewhere?
Coal Island says it paid $0.15562 per share, and although the market price of this volatile stock has decreased some since the Coal Island disposition, the share price is still over .20 per share.
Thanks for helping me understand what went on here.
Peter
Coal Island Ltd., a (former)shareholder in Hudson Resources Ltd. recently disclosed pursuant to the requirement for an "Early Warning Report" that it has 'disposed' of 18,466,827 common shares in HUD for 'gross aggregate proceeds of $2,874,526.00' through the facilities of the TSX Venture Exchange.
Does this mean that HUD bought back these shares, thus having the same effect as any normal share buy back, resulting in there being less money in the company but fewer shares outstanding and thus more value for each issued share, and would that be where the money for the transaction came from? Or would there be third party hidden in here somewhere?
Coal Island says it paid $0.15562 per share, and although the market price of this volatile stock has decreased some since the Coal Island disposition, the share price is still over .20 per share.
Thanks for helping me understand what went on here.
Peter
Q: I am wondering if you have an opinion on Hudson Resources? I have owned shares in the company for a few years, awaiting news which we saw today, that they signed a very large contract with Owens Corning for the sale of anorthosite to be used in the manufacturing of fiberglass. Supposedly this is the first of many supply agreements to be signed but the PR said that this agreement covers the major portion of the initial required volume. Supposedly this company will become a big cash cow, with very little capital required. The only problem is that it doesn't seem like any brokerage firms cover the company. After this PR only $80k has traded today. Just wondering if you have looked at this company in the past or if you have seen brokerage coverage on it?
Michael
Michael