Katanga Mining Ltd Ord KATFF

Precarious situation for Minority Shareholders

[topdop]

This is now where we pay very close attention to Glencore and their majority ownership. Although my Seeking Alpha KAT blog was incorrect in its assumptions regarding the recent actions of the Independent Directors, the balance of the blog still stands as valid: this is fast becoming a Precarious situation for Minority Shareholders. I still believe KAT is not long for this world and GLEN could make a move at any time. The question is why wait until all execution risk is removed by KAT in getting to Steady State production at which point this will be an ++$8 Billion company? That makes no sense at all. If I were GLEN Corporate Counsel & GLEN Corporate Bankers, I would be advising the BoD to act sooner than later & take out KAT now. Such action would also enhance their "clean up" of the entire mess that was GEC (renamed Nikanor) (being KOV, Tilwezembe & Kananga projects) and the former KAT & GLEN association(s) with Dan Gertler. These are my views only. Thanks for reading.

[Simplerick]

What do you mean by taking out KAT? 

[ch1nmuzak]

All true in terms of the GLEN BoD motivations but ... is this really a bad state of affairs for KAT shareholders ? Virtually everyone currently holding shares is looking at a min 2 bagger already. min 3X bagger in the event of a buy out from GLEN. Many stand to make 8-12X their initial investments ( e.g. my first block of shares were purchased at .33 ) in the event of a buyout. Lots bought in

[topdop]

Agreed # ch1nmuzak. Just allerting the troops to a likely M&A action. Two further things to consider: 1. Yes, we are all in the money here - some more than others - which therefore means it would be a good play for GLEN to lowball us now, rather than pay up later. I am stating this as given our positive ownership situations - as you too have outlined - a lowball would likely garner a high

[entrdisplayname]

How would a low ball bid attempt make sense for GLEN? Every shareholder (should) understand the potential of KAT if they were to hold onto it long term. Why settle to make less money? Any rational person should hold out until a good offer is presented. The argument that "you shouldn't be greedy cause you made alot of money so far" is absolute nonsense imo. Why does that matter at

[topdop]

#entrdisplayname Respectively, please read this to understand how a creeping takeover can/could work. We are not out of the woods yet my friend: https://seekingalpha.com/instablog/31295425-kvn/5043562-katff-huge-undervalued-opportunity-minority-shareholders-independent-directors-take-glencore To be clear, I am not mandating NOT to be greedy. I am resolute in my admiration for the KAT assets and

[ch1nmuzak]

I think your confusion is a matter of semantics ... one man's " lowball" is anothers winfall. Just to b clear ... at no point did i suggest GLEN might offer less than current price. Nor that shareholders should sell if so. All my scenarios assume a handsome premium of 33-50% on the current price. That can't be described as a lowball. Some with really billish long term views on

[ch1nmuzak]

topdop: I do agree strongly with one point you made about a potetial M&A, that its REALLY tough toi find any qulaity replacments when this type of thing occurs ( bigs buying smalls) . it basically , over time, almost forces one into either: 1. the mid and large caps in order to get a diluted piece of the action ( and much lower returns unless you get in at the bottom of a real trough for