That's insane. There are zero efficiencies in this. Nothing. Anglo Gold had pre-emptive rights, they know the asset better than anyone and they have let it pass. IGO were expecting a price north of 500 mil and Regis came over the top with 900 mil. I had a heavy weighting to Regis in the gold sector- I'm now a seller. A stupid price when they could well have internally funded their own projects. The price they paid was appropriate to a gold price of US$2050-2100/oz. Regis just went from being the best/cheapest mid sized gold producer to arguably the worst with the board having transferred value from their own shareholders to those of IGO.
RRL Price at posting:
$3.17 Sentiment: Sell Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)