zfx now has 21 percent, page-8

Jkm010,

“Having ZFX as a minority shareholder is a disastrous outcome”

I don’t know that it would be a disastrous outcome.
Hypothetically, let’s say that ZFX can’t dislodge Jinchuan and another 10% of holders and only end up with 80%.

I’ve looked into what happened under similar circumstances with PDN’s takeover of SMM last year. They too ended up with somewhere between 80 – 90%. The shareprice of both companies has since taken a dive.
In 2005 Cleveland attempted to takeover Portman Mining, first at $3.40 then at $3.85, the directors recommended the offer yet Cleveland only got to 80%. Portman mining is now around $11.

The conclusion I have reached is that the fortunes of the target company has more to do with the fundamentals of both companies involved. PDN & SMM both into uranium, all U stocks have come off the boil lately. Portman an iron ore miner, well that speaks for itself. I don’t necessarily believe the argument that reduced liquidity will stifle the share price.

Regards

$eeker