I was looking at WEIGHTED AVERAGE FULLY DILUTED SHARES OUTSTANDING in the '98 annual report that listed 90,662,473.
Prole:
"Fully diluted," in Madera's case, takes into account the special preferred that Ramiro holds to prevent a hostile takeoever of the company. The fully diluted number is only theoretical, unless something happens, but with this plan in effect and duly advertised, there should be no such interest to take over the company.
I read Madera's offer to sell its land as $96 million for the 1st parcel of 233,333 acres, or one third of its Brazilian holdings. There will exist an option to buy another third of Madera's land, price not stated. This puts Madera's real land value at nearly $400 an acre...didn't we always know that the auditors' report low-balled the land value?
If and when Madera gets that kind of money on hand, we should see great things happen...dividends and share buybacks to aid the shareholder, equipment, advice and personnel, for the company. I can't see any downside to the whole deal, except I wish Madera could do this without selling its land.
Cheers!
Rick
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