The jollity of last week’s riddle is left aside. Two weeks ago, in The IKN Weekly IKN599 dated November 15th, this company was mentioned in the subscription weekly for the first time in a couple of years due to the news out that weekend. Here’s the short note that appeared in IKN599:
Kirkland Lake and Novo Resources (NVO.v)
No holding here and not about to start forming a late-stage opinion either, but the knowledge that Novo Resources (NVO.v) is a popular company among junior investors and speculators is enough to warrant this short heads-up. On Friday, Kirkland Lake filed news (11) to say that, “…(b)etween August 13, 2020 and November 12, 2020, the Company disposed of 1,095,900 common shares of Novo”. KL goes on to say that due to warrants it also held expiring unexercised and this, the company’s holding in NVO has dropped from a grand total 21.25% (partially diluted basis) to 12.1% (non-diluted). Being a RegF, KL as a 10%+ insider had to give reason for its sale: “The NVO Shares were sold for investment purposes.” The implication, that an operating mining company with over $800m at treasury can find better things to do with minor cash in an exploration junior with an unorthodox development plan, is not a good optic for NVO.
Here’s a price chart since then:
A simple question: Did the experts in the stock, the people who continually propound its world-beating potential to a bunch of nodding donkeys on social media despite a lack of hard data, tell their followers about the obvious threat to the share price of NVO.v that weekend? Or did they just lead their sheep to the slaughterhouse? This NVO dump was so obvious, it got a mention in the Weekly from a market eye that has no money on the horse and little time to follow its shenanigans. This scam is in its final days, no wonder P.T. Barnum PhD has spent the last two years grabbing on to whatever director seat he is offered.