The way i see it the Chinese usually jump in early on these projects as they see a long term opportunity which they had done in SDL case..they think long..they have a lot of cash reserves to invest...
In addiotn in SDL's case they see an opportunity to use their own people and companies to build infrastrusture and extract resources which they will send back home...
they are also looking to source their IO at a cheaper price and are looking to avoid the big 4 IO companies..
the only problem is they do not have a long history or experience in this area and business ethics is not high...
Here was a good opportunity for them to turn that poor reputation around, with SDL being such a large project, a number of countries involved and a lot publicity surrounding the project,
They will want to get this one right...or the iron curtain will close on any future dealings...
SDL Price at posting:
33.5¢ Sentiment: LT Buy Disclosure: Held
