Re: Yanchukov increase WTG holding to 11% - meat
in response to
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posted on
Nov 10, 2011 08:24AM
Edit this title from the Fast Facts Section
Carib finds a little more meat on the bones with his analysis:
"I don't think the numbers are quite right. Since the merger closed there have only been two significant buyers of WTG shares on the TSX – RBC with 4.879 million shares and Pope with 1.428 million shares. RBC's average purchase price was $0.785 and Pope's was $0.721. Sergey could not have purchased 4.9 million shares at 69 cents on the TSX and who other than Finskiy would sell him 1.96 million shares at 47 cents.
What is also apparent is that Sergey owned about 64 million CMM shares before the merger and was therefore the recipient of the majority of the 50.5 million shares and warrents that were transferred from Finskiy. Sergey's 64 million shares were more than the entire No vote.
Nevertheless this is another example where Finskiy has shown that he cares about dilution of shareholders. First the $10 million line of credit, then the $15 million in loans from shareholders led by Finskiy and now Sergey adding to his position by buying shares on the open market. WTG could have easily done a PP to Sergey for 5 million shares at 65 cents and 2.5 million warrants at 90 cents and he'd have a lot more shares at a lower cost if Max was looking after his friends at minority shareholders expense. I think this insider buying of shares on the open market has to be considered to be bullish and I think we'll see decent Q3 numbers."