southern cross eq jan report sdl, page-7

Start with the capital raising at 10% discount to their stake.

Sure the capital raising price looks good compared to SP now but it is all part of the activities that have helped to depreciate the company this year.I cannot fathom how SDL is trading at these levels.If I had spare cash I would be buying.I may request some more downside data to see who is selling?

Plus the only public statement from SDL about Hanlong is "We PERCIEVE this as being positive for Sundance" hardly a warm welcome.How about, "Sundance are excited and pleased to announce a new major shareholder that will greatly benefit the company going forward".

It's kind of strange to me because I believe GJ was probably involved in finding them to purchase Talbot's stake as they were looking to sell for quite some time, to the right people, and with GJ connections to China I can't help but believe he was involved.

They must now offer them a position on the board as a mark of faith. 200 million dollars is a shit load of money people for a %16 stake in a non-producing company.This is more than the CAPEX required for some juniors to get their mining operations started.This could buy four to six very promising juniors in Austaralia outright.It is a massive show of faith or perhaps another agenda (which makes more sense) but nonetheless without it SDL would be no more!