I wouldn't call this deal good or bad. It's probably what was the company is worth. I paid an average price of $16.38 for the company, but I'm not bitter. At that price, the PE was still around 6-7x. I've always accepted ZFX as a volatile stock due to it's reliance on zinc prices. At the moment, it's going at Christmas sale prices. What I'm wondering is how the share price will change once the new merged company relists. But the one thing we do know is volatility will certainly calm down once the two companies are merged.
By the way, someone here said ZFX is only worth $4. I've never heard of a company falling that far because of what a Hot Copper blogger belived for a moment while staring at the ceiling fan after a night on the moonshine. It's markets that determine prices, not cases of sour grapes and wet blankets.
ZFX
zinifex limited
not sure its a great deal for zfx holders, page-26
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