In the post “Tahoe Resources (TAHO) (THO.to): The decimation of shareholder value caused by Kevin McArthur’s empire building designs” dated March 23rd this year, we considered just how bad the deals to buy Rio Alto and Lake Shore had been for the people who held those shares and believed in the tosh and nonsense vomited by Ferrari Kev to the market. But since then it’s only got worse:
In
February 2015 when Tahoe Resources (TAHO) (THO.to) bought Rio Alto
Mining, it was an all-paper deal framed at a ticket price of U$1.09Bn.
TAHO issued 75.991m shares to close the deal. Those shares are now worth
U$425.5m.Then
in February 2016 when Tahoe Resources (TAHO) (THO.to) bought Lakeshore
Gold, it was another an all-paper deal framed at a ticket price of
U$569m. TAHO issued 69.239m shares to close the deal. Those shares are
now worth U$387m.
Kevi MacArthur has taken U$1.66Bn worth of shares and made them into U$812m worth of shares. but hey….the dividend! Right guys???