brokers coverage ....who to believe ?, page-18

Hi Matt,

i understand most of your reasoning against the low ball price played brokers whether are for china or against it.

nonetheless, it is a share market, the stronger wins.

Unfortunately,the ball is not in our hands due to very poor management, we could see that from the option price offered to noble and sergian group($40m at 10cents and 10% pa interest)

I personally could sense that china has deliberately planned this, deal collapsed,people had to cut their losses, new holders come in and that are happy do take small profit and china collect their cheap shares.

The project fundamentals are still the same and positively viable, probably by now the whole world know SDL. On the other hand everyone knows that china is involved and prefer to stay away.

In the past negotiations, GJ indicated that he was not intending to sell more 50% of the project and i believe it will be 50%.

The questions that i would be interested in their answers are:
The price paid for 50% equity,
The price of future iron sales
The hedge price of the autralian dollar exchange rate.
The interest payable on the loan toward the project finance.

I believe these above mentioned variables will be able to determine the share price future.

However, as much as i love to see SDL price at $1-$1.66, i believe china gets more than 50% of the project, we will be put through hell or may never see the light again. like the case of GBG.

My wish, is that management would act in the best interest of their shareholders as total not just for some close friends.


Regards
bouhr