Ann: Trading Halt, page-14

I actually came to post that I do not share the enthusiasm of others posting here for this deal.  The the more I have looked at the EXU offer the less impressed I am by it.  I think the 5c is way over the top unless they find some gems in their due diligence looking over the drilling (In addition to significantly more gold than has been indicated so far.  I also looked more at the numbers in the latest broker report regarding the trucking costs and it is by no means guaranteed to be the cheapest option in the long run.  This takes a bit of the synergy out.  RMS know the region and maybe have some idea of the upside for exploration there, but it seems like they are pushing this one a bit hard when there are likely going to be cheaper options.

So I hope the result is that the offer is dropped or at least down to 2c or less.  I think just dropping the offer would give the share price a nice kick back to where it was before the offer.  Maybe they can work out some sort of treatment or processing toll instead if trucking is a viable option.

When EXU get their act together and start actually reporting something then I would much rather just buy a little on market if I like what I read.  No point now though when they are near bankrupt and no suggestions of financing the development.

Fingers crossed RMS know what they are doing.  I was similarly dubious about the EM purchase price and although I still think it was too much, it has payed off and given us a lot of room for quick expansion by buying defined reserves nearby.