RE:RE:RE:RE:RE:RE:RE:I like what I seeSooner, what you have to understand is that the current trading price you see daily for WRN is the marginal price to acquire a small amount of shares today. If any entity (RIO or otherwise) went into the open market to acquire 50% of the shares so as to assure a buyout if and when they should choose, the price would rise SUBSTANTIALLY.
Remember when RIO picked up 8% and the price of the shares doubled last year? Comparing picking up a lot of 1,000 shares to half the shares outstanding is not a logical comparison. When you start talking about acquiring the entire amount of shares outstanding, you have to take into account what would the price be if you effected buying out half of the shares in the open market.
I'm inclined to believe that the piddly 30% premium over the prior 30 day trading period that we see in many buyouts woefully underestimates the true cost of what it would take to acquire the shares in the open market by the suitor. The suitor preys upon the laziness, ignorance and impatience of the bulk of the shareholders to flip their shares for a paltry premium.
I believe most of us WRN shareholders can't be bought off in such a manner. We want true value, ergo the discussion has to revovle around NPV and NOT market cap. Market cap is smoke and mirrors in this instance.
If RIO wants to lowball the buyout, Paul and the BoD can always retort "Go into the open market and acquire your 50% and see how much that costs". Oh, don't want to do that do they? Ask yourself why......