Ann: Trading Halt, page-17

We will know more next week but this deal could become a case for EXU shareholders of from the frying pan into the fire. It may stop a RMS takeover but ALK could then be in the drivers seat to get the most out of EXU's tenements to the disadvantage of EXU shareholders.

The deal with RMS gave EXU shareholders a stake in a well funded successful gold miner where there would be clear synergies in the tie up. The only question was how those benefits were being distributed across RMS and EXU shareholders. Judging by the recent share price history EXU would have struggled badly to progress its project in the absence of the RMS offer. I am not aware of any synergies between EXU and ALK.

This deal (assuming its with ALK taking a major interest in RMS) could be a case of cutting off EXU's nose to spite its face.

But perhaps maintaining ones pride (and management income) should take precedence.

loki (I do not own shares in EXU or RMS shares - am just an interested bystander.)