Corporate rules for takeovers concerning taking out minorities is one price. If you make a lower offer and then shift it to a higher offer then everyone gets that higher offer. This is of course takeover bids from the same entity that are within 12 months.
One way to go around this is an on-market takeover. This means Zijin can place like a 300m buy order at say 12.5cents (since this is the minimum they have to pay as this is what they are paying for the 146m Genorah NKP shares) and move up their bid as time goes. This means whomever sold into the buy order is sold. At 12.5cents is quite unlikely since in any takeover bid there will be a buyer statement attached. If this is what Zijin will do then most likely they would start at the 16.6cents mark.
This is just going purely on a corporate legal perspective.
As for "time is money" I don't think anyone invests in something that they think will lose them money. When I took up my position I thought "great Zijin begins their investment with $20m convertible bond". I was hoping that Zijin would be ready to move onto a JV or takeover by 12-15 months time. After 14 months since the convertible bond deal was announced we are still trying to get the 146m shares across the line. One thing with these Genorah boys is that they are always late. Essentially NKP is a BEE company listed on the ASX at this stage so what Genorah does/does not do, affects NKP directly. Its crap but its reality.
NKP Price at posting:
6.1¢ Sentiment: None Disclosure: Held
