Gran Colombia announces the purchase of 70,062,746 warrants by Sprott Asset Management LP and Flatiron Capital Management Partners

The only possible explanation that comes to mind is the idea that Sprott/Flatiron are speculating on (or are about to start advocating for) a very, very significant repricing event. We can’t recall any examples of a repricing occurring on a publicly traded warrant, and we’re not even sure such a thing would be allowed, but how else could this be explained? Nevertheless even if we’re correct and assuming Sprott’s average buy-in price was $0.15 there’s really only room for a double given the current price of the common. Remember, a no frills warrant can never be worth more than the common share, even if it had an infinite time until expiration, since there is a cost to exercise the warrant. Furthermore there’s still the question of when we could expect such a repricing announcement. Perhaps if you can pick up the Warrants at the low end of their trading range it might be worth a punt, but otherwise this looks very strange all-around.