Iron ore price, page-6257

You know AGO is worth $500m /0.3 = $1666m

FMG has to make $1666m to utilise the tax losses... Which means FMG can make $1666m tax free money.....

Technically...

In my Hay day I was making a lot of money until I don't even know how to spend it ..until the 08 crisis..... and I had a company which has losses.... well... average out over the years... I am still in profit... and for now, 14 years investing.. I am stronger than ever after my puny little loss..

Individual tax.... if carry forward losses.. $100,000 .... If you make $100,000 next year... it will fully utilise the losses... Meaning your taxable income is $0 and no more carry forward loss....

The company seems different.... $100,000 carry forward losses..... you make $100,000 next year... Tax 30% = $30k tax.... you pay no tax... and the carry forward losses becomes $70k..... and it gets reduced.....

Hence..... if FMG gets AGO and somehow utilise that $500m tax loss...... FMG have to make $1666m in order to clear the tax loss..... but not sure... different entities can utilise the tax losses easily... but accountants have their way anyway... transfer pricing or whatever... either way AGO is "cheap" in the eyes of big FAT cashflow business like FMG... because they can save on tax..... hence anything less than $500m is cheap for AGO.... if FMG gets AGO for $350m .... Twiggy Forrest just made us shareholders $150m better off...

I bet Twiggy will bid for $350m... to clear out competitions... not just $150m better off.. but strategically somehow better off.... if FMG buys AGO, FMG will Drop like an egg.. and I have extra Cash to catch the falling "plastic coated with iron dust" knife but in long run...

Everyone would technically LAUGH all the way to the Iron Bank