The pricing was .36 per share with one warrant issued at a redemption cost of .52 per share...which entitled the holder to obtain one further share for .52 for a period of 5 years.....,shares were free trading immediately...and the warrants were exercisable for a period of 5 years also with no hold period.
The legal opinion that came in the final prospectus suggested that for TAX PURPOSES..... it was their opinion that the ACB (aquired cost base)..would be treated as .20 per share and .16 per warrant.
So for that reason many investors would record the ACB at those figures.....So in the case of the warrants when exercised the ACB would be .16 plus .52 for a total of .64
Remember all this was a legal opinion that still left the investor free to record his costs as he deemed ...however the opinion established a credited value for the ACB
Hope this finally clears up this matter...As this is the facts
Onward
ROYLATON