GREY:ICMTF - Post by User
Post by
p.yuon Oct 20, 2011 9:31pm
489 Views
Post# 19168849
What's up with the offer ?
What's up with the offer ?Come on. Are you kidding me. Companies that extend warrants are spineless.
The companies share price was already getting hit by virtue of it being in China and the post Sino Forest crackdown on anything China. The company cannot be taken over easily without the consent of their majority shareholders Zijin which own 18% plus there two HK based owners. Not sure why another Chinese mining company would waste their time bidding know that they cannot get complete control. The only thing that might make sense is they hope to make an offer and get control. Problem is, $1.20 - $1.70 will not be enough.
ICI have clearly amassed a lot of gold reserves and someone will want to control this resource. Zijin cannot buy anymore stock under agreement but maybe, just maybe they initiated this so they can step in as a white knight while the stock is cheap. The company will let them out of their restriction if push comes to shove.
The unknown company should make an official offer and start the auction process.