re: Ann: REINSTATEMENT TO OFFICIAL QUOTATION ... 2:16pm - Latest Suspension Remains, announcement from ASX. Assume they are not going to come back on tomorrow.
When TKG finally relists you would expect them to trade, initially, at a significant discount to nav of $0.71. Why?
* MNC investment represent 11% of total MNC issued shares, and 6.5x largest daily of shares traded in last 6 months. The toal investment is therefore not really liquid, and can only be sold down in small parcels without negatively impacting the sp.
* MNC is still a speculative stock, with no funding in place to develop it's Chilean resource. The sp of MNC, and the value TKG's holding, could fluctuate wildly.
* TKG's other projects are immature and it is difficult to ascribe a value to them.
* Funding required to advance these projects in unknown. So the timing of the next CR is also an unknown, at least until the Quarterly Cash Statement is released.
* Lastly, there will be shareholders who need the cash but have been locked out since the original suspension.
So a host of unknowns. One large positive os that the holding in MNC is worth substantially more that when TKG was suspended.
Having a stab at an sp to come on at is very difficult. An sp once trading settles, say a week out, I would estimate close to $0.45 - $0.50.
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