Post by
psj567 on Aug 24, 2015 12:29pm
Vultures Are Circling Freeport to RMC's Gain
Freeport almost reached the $7 handle today. Amid a forced raise by creditors and a deteriorating balance sheet, Freeport has to be exploring all options to raise cash ASAP. Several of the leaner, cash rich, mid-tier producers are salivating right now at the prospect of buying Freeport's interest in the Timok JV at a fire sale price. Because RMC holds the Right of First Refusal on any such buyout offer Freeport wishes to accept, a would-be acquiror is going to have to pay a hefty premium to first acquire RMC's interest.. Stated otherwise, to acquire the Timok project in its entirety at a bargain basement price, someone is first going to have to pay through the nose to acquire RMC.