Investment Q&A

Q: At the time of the transaction announcement, I had assumed the original ACB from Karora would follow, and the transaction would not be a taxable event. My concern was how would the $0.608/share be treated. I enquired, and received this passed along from their tax dept, "This was a return of capital spin-off followed by a mixed consideration third-party acquisition.It was effectively a fair market value disposition because the consideration was a mix of cash and shares.  To be tax deferred in Canada it has to be shares only." 
In other words, the entire transaction would be taxable this year. (The ACB on the WGX shares reflects that.)

Is this your understanding?  If so, any idea why they would structure the deal this way?  Doing so would seem decidedly non shareholder friendly. 
Thank you for your comments. Tim

Q: which of the above would you buy now?

Q: Can you please explain what will happen to my KRR shares on TSX after the company reorganization?
Thank you!

Q: Is this a gold company to own. I already have Agnico and Torex and have done well recently, but noticed Mr Sprott has been buying more of JAG.

Q: What are your current thoughts on AOT?

Q: What are your current favourite growth stocks in gold industry? Looking at something of quality that may have upside potential to complement larger cap AEM holding.

Q: Is the takeover good for shareholders and would you sell hold or buy more?

Q: Aside from AI what industries do you think will do well over the next year, both CDA and USA? Can you pls recommend specific stocks or ETFs in those industries?

Q: Hi,
You mentioned KRR a few times lately as one of you preferred gold stock. But isn’t KRR being bought out by WestGold?

Q: what are your top 3 picks in gold stocks and why? thanks.

Q: Hello Team, I have owned KRR for about 5-6 years, it's my one and only Gold stock and I keep it around 4% of my portfolio. Would you recommend continuing to hold and keeping the new merged company or selling and purchasing something else. I'm okay and prefer riskier companies that have good upside. Thanks.

Q: Hi team, what do you make of the big drop and then the nice recovery since the merger was announced.
Could that price action be based on some manipulation angle?
Do you see the KRR stock price going above $5.90 ? Also, do you see other bidders entering?
Thanks
Rob

Q: Would you consider this a strong buy at this time given the large arbitage spread. Offer price seems to be working put to around cad$5.90 plus the newco share and its trading around cad$5.17. Any comcerns?

Q: there are questions about if this new company will still trade on the TSX?can you clarify.
Also does this not need a vote from shareholders as well?
KRR shares got really dumped here.

Q: Thoughts on this gold junior company with the runup in bullion?

Q: Your comments on the deal w/Westgold. Is it good for Karora shares holder? Should we sell, buy, hold and wait? Should we transfer to an other proxy? Your analysis will be appreciated.

Thanks

Q: Are Canadian gold stocks undervalued? Which have the best upside potential in the next few years

Q: Hi there, can you comment on the merits of KRR's news today?

Can you add any further information on Ramelius, its size, quality of assets, financials, etc?

Would this be a good fit for KRR scaling up, if it happens?

Any other rumors/speculation out there of someone else jumping in for KRR or other possibilities you feel would be better for KRR, your thoughts would be appreciated?

Thanks!

Q: Gold is at new highs but based on a review of recent answers, gold miners are not seeing share price appreciation because of the costs of production and other factors.
Are there any gold stocks that you think are worth buying?

Q: My allotment to precious metals is now down below my target of 5%. I need to add to bring up this part of my portfolio. I have a full position in AEM. Which of PAAS, SSRM, BTO, KRR or FNV should I add to at this time? Or do you have another precious metal company that would be appropriate at this time?