smartinvestor22despite the mgx ceo suggesting that they have had...

smartinvestor22
despite the mgx ceo suggesting that they have had informal
but no concrete takeover discussions to the media ,the small shareholders continue to retain diminishing faith and bear the brunt of such antics through large gaping holes in their pockets.
There will be no takeover besides those Chines parties taking a larger stake and potential control of MGX at a ridiculous 60 cent premium.
I suspected BHP could have been interested but given no formal approach to date and a rapidly declining share price (which has once again more that halved in a week)the future is grim for MGX.

Surprised FMG are not giving MGX a good look over but yet again they have their own debt , interest issues, reduced volumes and 30 -40 % iron ore price reduction outlook in April 09 to contend with .

The question is why MGX hedged all their bets on primarily 2 main trading houses or steel mills for 2/3 of their total production
without having raised more capital (stronger cash position earlier) as part of contingency planning in addition to hedging in the vent of such IO shipment delays or cancellations ?
Good luck to MGX trying to recover their binding contract losses through the Chinese beuracrats and court system.
There will be no money left in any case to pursue via litigation..