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PGLC - Pershing Gold


bizaro86

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Pershing Gold is getting taken over by USAS. 0.715 USAS for every PGLC. I was able to get in at about a 4% spread over the last little bit. Not a big deal or anything, but maybe a nice short term arb for those who are interested in that sort of thing. CFIUS is pending, delayed by the shut-down of the govt. I can't see why they'd have any objection to this. USAS has had a borrow cost of ~5% or so, so check that with your broker before you jump in.

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I'm amazed this found a buyer. Was another classic Phillip Frost/Barry Honig associated stock promotion years ago. With the SEC charges and his OPK blowing up, I'm surprised people still are willing to touch this. Then again, USAS bought Drumlummon - a totally worthless mine that they wrote off almost immediately - so at least they are consistent. Enjoy the arb, but definitely get out of the USAS stock as soon as you receive it.

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