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Zenith's BET Inhibitor ZEN-3694 is Currently Being Evaluated in Multiple Oncology Clinical Trials

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Message: Re: Question on valuing shares from time of spinoff

bfw

I had initially posted this message 8/30/2017:

refer to the Resverlogix.com/investors documents/Sedar filings/6/30/13 

RESVERLOGIX CORP. ADJUSTED COST BASE Resverlogix’s estimation of the proportionate allocation of the adjusted cost base of the Resverlogix Common Shares immediately before the share exchange, based on the relative estimated fair market values of the New Resverlogix Common Shares and the Zenith Common Shares immediately after the share exchange, is as follows: Resverlogix New Common Shares 90.9% Zenith Common Shares 9.1% This allocation is not binding on the Canada Revenue Agency or any shareholder. 

Example: You had 10,000 shares of RVX which you purchased for $3.50 per share and held them at the Spinco record dated

               You received 10,000 shares of Zenith

               Your cost basis for RVX is now $31,815($35,000*.909)

               Your cost basis for Xenith is $3,185($35,000*.091)

My trading account still shows 0 value for my Zenith markers

My trading account still shows $0 value for Zenith shares - hopefully that's about to change as DM had mentioned in his unofficial communique to leden about a month ago - still waiting for the Zenith deal  which supposedly is in progress. 

The valuation above is the computation of your Zenith cost basis at the spinoff date for determining gain or loss on the sale of Zenith shares which as of today are still not marketable. If they do announce a deal, they will certainly address the spinco cost basis computation which will be further complicated by the Royalty Preferred Shares. Should Zenith deal ZEN-3694 only, or some combination of compounds, Zenith shareholders would still own the right to future RVX-208 Royalties. As of now, I would assign a cost basis based on the 6/30/13 Sedar filing.

 

Chicagoest 

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