An offer of $40-$60m is a good deal for LCY. Sure I and all shareholders would like it to be $100m+ but that $40-$60m allows LCY to do a lot.
Dont foreget Sharon is one smart cookie when it comes to negotiating deals. She has a background in commodity trading etc out of China.
So what do we know.
- an offer of potentially $40-$60m, gives a total market cap of $120m after the NMDC money (assuming $60m). Currently 233m shares on issue, so will be 466m after deal. So this gives $120m cap over 466m shares = $0.25.
- Sharon has indicated that some funds will be used to acquire advanced / near production resource projects like coal and iron ore.
- quarterly also talks about an in-specie distribution of assets, whether current or to be acquired, which will be returned to shareholders as shares in new companies.
So if you put all the pieces together, do people think any deal Sharon negotiated would include all of these pieces as part of the investment by NMDC?
That would be a fantastic deal for shareholders.
LCY Price at posting:
17.5¢ Sentiment: None Disclosure: Held
