Phoenician Metals will also own SBM royalties andA$34M in listed...

Phoenician Metals will also own SBM royalties andA$34M in listed ASX investments and A$85M in cash.
SBM shareholders get 80% of this company between them as part of the merger deal. The merged entity (Hoover House) will retain 20% of this Phoenician spin off however.

GMD were tasked with raising A$275M and that has been completed, and as stated above is 22% of Hoover House. SBM get 38% of the new entity and keep 80% of the old with many extras. The new entity is cashed up and synergies exist. GMD holders get 41% of Hoover and zero of Phoenician. I am still wrapping my head around it all but it seems to be a pretty good deal; in fact a win win. I have yet to full assess the quality of the asset split and that will take some work.

So my view is not complete yet. On the surface, at least, it gets SBM shareholders a lift immediately, solves problems for SBM and GMD, and provides a structure that might be able to work going forward. More work to do here. People do not like change and this was a shock but better than bad news IMO. Much better. The devil might be in the detail so a thorough review of geology, forward production, cost efficiencies and so on are needed. All share holders should complete a full clean sheet of both the new companies as part of their due diligence. Two companies presents options that were not present for SBM holders that are under water. My interest here is analytical. The sector needs more choice. The SBM chart will now take on a new harmonic. All charts have a "personality" or harmonic resonance. It will take a while for HHouse to establish the new patterns.

Cheers, CW