Reason refusal SD ?!Hello Wantedman,
spoke to IR NWT Uranium.
They gave a specifiv=c reason for the refusal Special Divodend Niger Uranium (8 million Kalahari shares) :
Hello, we feel that NWT is still in a very strong position to capitalize on its interest in Niger and thus Kalahari and Extract if niger’s shares remain a 14% block rather than owned individually by shareholders. I was reading a research report yesterday in which an anlyst pegged the price of Kalahari shares at 225 p and 3 year price target of 346p!! We feel Niger can be in a better position to negotiate a good price if it holds the shares as a block of 13-14% rather than distribute it amongst shareholders. The distribution may also depress the price a bit due to selling pressure and allow parties such as riot tinto to consolidate their position in the companies. We feel the extract asset could potentially come into play in 2010 with serious bids hopefully at a higher valuation than it is today. With a big block like nigers 14% in Kalahari, I beleive niger can better participate in the negotiations and request a better price for its block than smaller shareholders would. These gains from substantial ownership will ultimately accrue to all shareholders of niger and nwt and offset any short term gains to shareholders a dividend distribution might offer. So in summary Jan I think it’s a good thing these shares are held by Niger still.
So, just want to negotiate a BETTER PRICE !!!
Nothing more......