Stqckhead Like Emerald, page-7

Backofbeyond,

At the announcement of the offer, EMR valued a Bullzeye share at 30c.

Of the total 445M Bullzeye shares in issue at the time, EMR acquired 60%, costing circa $80M mostly in script (1 EMR for every 3.43 Bullzeye)

That leaves 178M Bullzeye shares not in EMR hands, valued at circa $54M ( @ 30c a share).

The report indicates that if EMR acquires those 178M shares, the EMR SP could rise between 50-100%, thats a $325-$650M increase in the market cap.

Those that took up the offer (the 60%) will see a x1.5- x2 increase in their investment.

Those that did not (the 40%), there is a notional increase in value from $54M to $325-$650M. A x6-x12 increase.

Now there is an 18 month+ period ahead which will involved significant rounds of fundraising, And those that do not contribute will be diluted, but even allowing for a very sizeable dilution between now and 2025 (which is when EMR is targeting full bullzeye mining production), and a discounted purchase price to allow EMR to realise good profit, it is reasonable to see that those that held will be better off that those that did not.

The EMR offer was an excellent opportunity for those that wanted to cash out in the short/medium term, with many having held for a long time with no ability to liquefy. For those that were not minded to convert to cash, it would appear to be sound judgement to have held Bullzeye shares. Holding Bullzeye shares gives a higher gearing on profits than holding EMR shares, as, according to the report, it is Bullzeye that is responsible for the 50-100% EMR SP improvement.

And speaking of fund raising/dilution, I see a prospectus was released by bullzeye a couple of days ago offering 1 for every 20 shares @ 29c.