They actually had a business problem concerned with Ratio, which they had to resolve before releasing an announcement.
The problem they had is that they couldn't lower the value of CO1 down below 10 cents, because CO1 had just raised capital at 10 cents, and that would have made a lot of sophisticated investors very unhappy, and they will need there votes on the merger.
So they were really only left with one solution, and that is allowing First Cobalt to trade for an extra two (2) days in Canada, and in that time they would Have to push the price of First Cobalt in Canada up beyond the equivalent of 10 cents a CO1 share based on the Ratio, which is exactly what they did.
This made things look better for an announcement.
Which means both prices are now artificially inflated, but it's what they had to do (because of the Ratio, and because their prior capital raisings dictated it).
ha... ha... it's a funny old game this share trading... isn't it ?
Gw
CO1 Price at posting:
10.5¢ Sentiment: None Disclosure: Held
