Ann: ABY Takeover Offer Unconditional, page-9

Thanks Boxhillnorth,

My reading since my last post (including brokers research reports which I cannot quote unless I can find them in the public domain), suggests The Nifty Mine is in all sorts of trouble. Apart from the sinkhole and the recent fatality, it is likely to be barely profitable at current Cu price - worst of all it seems that resource exploration has stopped so the proposed LOM is barely credible.

IMO then, MLX must believe that Hindalco will relieve themselves of the asset. Otherwise what's the point??

The expert consensus also seems to be that MLX has the expertise to use what remains of BTY's cash, after commitments and debt, together with some of its own to revitalise Nifty to a high operational standard and profitability. Assuming the LOM can be substantiated by drilling, of course.

Some suggest MLX is the only crowd who could or would do it.

The upside for MLX is an operational plant in a known Cu Camp (MLX collects them like souvenirs), and some fair to middling prospects - which they must think will be handy when the next boom in Cu starts.

Should Hindalco not come to the party but MLX picks up 30 to 40% and a substantial presence on the board there may be some operational and governance issues to address which may not be welcome. What would happen then, I wonder??

I have enough confidence in Peter Cook's M&A team to believe this T/O will succeed (or be discarded at low cost) - not so sure about the Shiffty Niffty mine !!

For BTY holders this T/O is akin to getting off "The Valley Rattler" onto the "Tilt Train" at Gympie Station.

Criticism and comment is most welcome as I am doing my due diligence.

Thanks DYOR