The offer for FWR is very timely, if not a bit late. Earlier when NOT was trading at >$2.00 it would have looked even better at 4 to 1. FWR was $0.24 in January, which gives me a >50% profit plus shares in a stronger NOT. I would not look at this as a dilution of share value, even with the takeover premium. One would hope that NOT management can structure the deal to defer the gains tax. A merger might have been better.

NOT is picking up value, and the Market Cap will reflect that. I am convinced that the outlook for a combined company is better than the two pieces. Consider the recent news from FWR:

Freewest Resources Canada Inc. (TSX VENTURE: FWR) ("Freewest"), Spider Resources Inc. (TSX VENTURE: SPQ) ("Spider") and KWG Resources Inc. (TSX VENTURE: KWG) ("KWG") are pleased to announce the start-up of an 11,000 metre drill program on the Big Daddy Chromite property, which comprises of four 16 unit claims, one 12 unit claim plus two additional one unit claims (1,248 hectare property), pursuant to the first year commitment on an Amended Option Agreement with Freewest dated September 10, 2009.