GXY had about A$259m in cash at the end of last quarter. So you want them to buy A40 for A$100m and "go hard" on SDV. The last time I checked, they needed to spend in the ballpark of A$700m on SDV to bring it to production. So they can go as hard as they want on SDV, but it won't get them to production with what's left in the kitty. Cashflow from Mt C certainly won't contribute much to the shortfall. Then you have JB. How on earth they are going to fund that is the 8th Wonder of the World.
It's all well and good to say that the stock is cash backed by about 65c. But they are spending that money on a project that is nowhere near fully funded. They could end up blowing all the money and still be miles away from finishing the project. Then what do they do?
GXY Price at posting:
$1.24 Sentiment: Buy Disclosure: Not Held
