Sep. 27 at 2:03 AM
$BGL In terms of warrants.. I’m torn if this will be cash or cashless.
Case for cashless:
1. They have a conversion model for cashless warrants. This is not very common for SPACs to showcase right out the gate.
2. 67% insider ownership (before raising
$80M). They have been extremely cautious in terms of dilution. The extraordinary meeting was designed to restrict the issuance of warrants to shares. Overall, this is very bullish as ownership has the stock price on top of mind for every move. Cashless would clearly keep the float lower.
Case for cash:
1. Gold is appreciated significantly in 2025. 11.5M public warrants would give them well over
$135M of capital to acquire other mines.
2. They suspended the extraordinary meeting indefinitely, I believe this is mostly due to the fact they had a deadline for the F-1 and now the restrictions are pretty pointless. They may have changed the strategy for warrants.
