Kaiser holds nose over Lucero-CIBC deal
Lucero Resource Corp LCR
Shares issued 11,624,832 Mar 15 close $0.18
Wed 15 Mar 2000 In the News
John Kaiser, writing in the Bottom-Fish Action for the period Feb. 14-25,
says Lucero Resource has done a financing deal "that one has to hope the
CDNX shoots down." Mr. Kaiser recommended the stock in December, 1998, at
64 cents, and on six other occasions between 40 cents and $1.25, including
one in July, 1999, at 53 cents. The deal he wants the Canadian Venture
Exchange to cancel is one put together by Lucero director Frank Arcese and
some banking "bumpkins." Mr. Arcese is the principal of the Macromin
property vendor that has brought Lucero to the edge of ruin, he says. The
deal in question involves CIBC Capital Partners agreeing to buy $500,000
(U.S.) worth of Lucero shares at 16-1/2 cents. CIBC will put up $250,000 in
escrow from which the money will be released to Lucero only if Lucero
raises another $500,000 (U.S.). Another condition is one that permit CIBC
to to have the right to purchase another 4.4 million shares if they like
the initial drilling results. "I am told that this is acceptable to the
TSE, which doesn't surprise me at all," he grumbles. |
