Bob Moriarty of 321 Gold discusses Irving Resources, a spinoff from Gold Canyon Resources that has assets in northern Japan.
In September of 2015 First Mining Finance made an offer for Gold Canyon Resources. Gold Canyon accepted the purchase deal and it closed in November of 2015. As part of the agreement, Gold Canyon spun off $500,000 and certain other assets into a new shell named Irving Resources Inc. (IRV:CSE; IRVRF:OTCBB) headed by the Gold Canyon President and CEO, Akiko Levinson.
Each existing Gold Canyon shareholder was given 0.0333 shares of Irving per GCU share. As a result of the spinoff, tens of thousands of shareholders found themselves with an Xmas present of tiny amounts of Irving shares. The 177 million shares held in Gold Canyon turned into 5.4 million shares of Irving. That’s the entire float due to who participated in the later financing.
Since that time Irving completed private placements for about 9 million shares at $0.14 in early 2016 and an additional 16 million shares at $0.40 in late 2016. The company is especially well cashed up with just at $7 million cash in the till.
Three investors own over 42% of the shares. That would be Akiko Levinson, President and CEO, Dr. Quinton Hennigh, Director, and Eric Sprott, billionaire. In addition, the next highest seven shareholders own 36% more of the shares. In short on a basis of existing shares, 78% of the issued stock is in the tightest of hands and 82% on a fully diluted basis. The remaining 20% or so is made up of tiny positions held by small shareholders who toss them onto the market when they need some change.
I’ve never seen any stock so tightly held. It shows in the action of the stock with the shares more …read more