Asset quality of combined AvancOz

Over the past 2 weeks I’ve started (and then aborted) posts about glencore and whether this is attractive to them.

Disclosure...I own shares in Glencore and AVB, but not OZL.

IMO, glencore won’t make a bid for AVB at the moment.

Rather, I feel they may allow the TO to happen, and then ultimately takeover OZL.

AVB, on its own, doesn’t have big enough scale for glencore, however, with a bit more development of Pantera and Centro it could become attractive.

But clearly OZL, on its own, isn’t appetising for glencore, otherwise they would have bought OZL a long time ago.

To summarise what I’ve just said, I don’t think glencore would buy OZL without AVB, nor would it buy AVB without OZL. Work that one out!

I am saying that only the combined entirety would attract glencore attention.

This is how I would rate the combined entities assets

1. Prominent Hill
2. Carapateena
3. Centro
4. Pantera
5. AN
6. PB

Would love to hear others views on asset quality of the combined entity, as we have tended to only focus on the sale price.

I wouldn’t mind being part of a larger entity, so doubling their scrip offer would get my attention.

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