re: Ann: GML: CTO: Citigold Takeover Bid for ... My initial...

re: Ann: GML: CTO: Citigold Takeover Bid for ... My initial thoughts on this proposal are, "go for it".
The dilution that this will cause CTO is tiny -v- the potential reward that a takeover of GML could offer.

The deal would mean another 44m CTO shares on issue added to the current 842m or 5.3% dilution of CTO. Big deal!

GML is an interesting little speccy with potential.

I am happy that CTO are showing some bollocks and having a go, despite progress at Charters Towers being painfully slow. CTO currently own 15% of Gateway, have intimate knowledge of the company and obviously see this as a growth opportunity.

I doubt however that the GML board and shareholders will accept the current offer as it values GML shares at 7c each which was fridays closing price and quite abit below the average historical long term GML price.