Basic truth: A dumbass with money is still a dumbass.
Remember how the “Special Situations” (aka “we’re big money, we know what we’re doing, we’ll rape those bagholders no problem guys, come on in”) Mount Kellett fund, set up and run by two ex-Goldman Sachs employees and using Chinese OPM, bought 20% of Baja Mining for the knock-down bargain sum of around $60m? Good, I’m glad you remember that, here’s an update from today’s mailbag of NRs:
VANCOUVER, BRITISH COLUMBIA–(Marketwired – Dec 3, 2013) – Baja Mining Corp. (“Baja”) (BAJ.TO)(BAJFF) reports in relation
to the significant volume of its shares that traded on December 3,
2013, that Mount Kellett Master Fund II A LP filed a report on www.sedar.com after the market close on December 3, 2013, advising that it has sold all of its 67,421,117 common shares of Baja.
Looks like them there suit’n’brace wearing big swingin’ dicks sold those shares for half a cent each, according to recent volumes and prices at least. Which means that they might have made a loss on this one, does it not? In fact, the cash reaped from the sale won’t even cover the legal fees they ran during the battle with ex-CEO Greenslime. At the time (July 2012) your author wrote…
PS: Oh, one final thing. It’s now pretty clear that the guys at Mount
Kellett, the people who bought 19.9% of BAJ at prices around a $1 (best
guess) average and then went on for NR after NR about their belief in
Boleo’s world class potential etc etc, know fuck all about mining. The
moral here is that just because you have $60m to throw at the market it
doesn’t make you smart. Next time you see the Mt Kellett names pop up on
a deal keep that one in mind, yeah?
…and I think that one isn’t so far from the truth, 20/20 and all that.
PS: For anyone wanting a lot more on the Baja Mining trainwreck, IKN covered the whole sordid tale in deep detail at the time. Check out this link for most of the posts, all in one place.