Phase of marketOn Wednsday in the Globe Andrew Willis had an article about the sucessive phases of a mining market. In the later stages , according to Willis, when senior and intermediate producers are moving up in price they use their newly appreciated currency, their shares, to aquire undervalued juniours.
It may be presumptuious to worry about this now but lets remember that IAM has gone from under 4 to around 12 since November, 300% in less than a year for a mid cap-very impressive. But we have moved only slightly, yesterday notwithstanding. From the perspective of IAM the time the swap IAM paper for MXI has never been better.
But the relative values are not, in my mind, accurately reflected by the share prices. Should there be a paper offer for Merrex, from IAM or anyone else, lets remember to focus on value not share price. Quality juniors are very cheap right now.