People ask why would someone buy on market at $3.50 or more.
In simple terms, you pretty much have a put option at $3.50. You can't really go less than this. So what is the upside opportunities:
1) Expect higher offer. With SQM at 19.9%, it makes it hard but someone could look at getting 50.1% (control of Azure) and then buy Mark Creasy's 40% and then have an effective interest of 80% in the project. SQM may then sell out.
2) It's pretty much a free option on exploration - the downside price is locked in at $3.50. If you think there is good exploration news to come which justifies more than $3.50, then two potential things could happen:
(a) the independent expert may state that the price isn't fair and reasonable - the Board is not required to continue to support the transaction and they need to negotiate a higher price;
(b) the market doesn't think it is fair and reasonable and vote accordingly (i.e. don't get 75% for the scheme), which likely leads to a higher price.
3) Try and block the deal - Gina and Liontown version 2 (or try and work out a JV like Wyloo did with IGO - although collateral benefit is an issue). Likely a short term spike above $3.50. Long term, it reverts to fundamental value (but likely loses takeover premium).
I'm simply going to hold and see where this goes.
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Last
$3.69 |
Change
0.280(8.21%) |
Mkt cap ! $1.692B |
Open | High | Low | Value | Volume |
$3.42 | $3.70 | $3.40 | $31.97M | 8.734M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
16 | 8030500 | $3.68 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$3.69 | 600 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
3 | 1113 | 3.700 |
4 | 4000000 | 3.690 |
14 | 5808954 | 3.680 |
2 | 10150 | 3.670 |
1 | 5000 | 3.650 |
Price($) | Vol. | No. |
---|---|---|
3.580 | 54 | 1 |
3.620 | 3044 | 1 |
3.680 | 20000 | 1 |
3.690 | 140813 | 8 |
3.700 | 880500 | 27 |
Last trade - 16.10pm 30/04/2024 (20 minute delay) ? |
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Last
$3.70 |
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Change
0.280 ( 8.39 %) |
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Open | High | Low | Volume | ||
$3.41 | $3.70 | $3.40 | 2176435 | ||
Last updated 15.59pm 30/04/2024 ? |
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