RE: RE: Reason for optimism?? I don't see it I have the nagging feeling that IAMGOLD has been working long and hard for quite some time to aquire TRR. Remember is was not too long ago that there was , I believe, a target for TRR of $8.00 ? For both companies directors to approve this deal, there is surely a lot of details that we will never know about. My guess is that TRR management will draft a strong, convincing argument to get shareholders to approve. If TRR shareholders DON'T approve and the deal fails, will IAMGOLD still get that $21M break-fee??? That represents roughly 3-1/2% of the company value.
Suppose another company enters bidding. Would that company be willing to pay the break-fee and still pay more than the current offer by IAMGOLD? For shareholders, any new offer from another company would have to be substantial to justify paying $21M plus getting a much better offer.
No doubt Gold will go higher, and on an outside, extraordinary event, such as a banking collapse, Gold could pop to $2,000.00 per oz. overnight as Jim Sinclair suggests. And in that event, any break-fee would be considered peanuts. But these are still tough economic times and I don't see any company just throwing money around. I hope I'm wrong, and greater offers will be forthcoming ........ but I have a feeling that the deal is the final chapter.
As Always, Best of Luck
Alchemist7