current events

Here is some food for thought.

It seems to me that all the bid by EWC is doing is testing the confidence of NWT shareholders who thrive on paranoia.

Obviously Starr had some connection previously with the company and ended up on the wrong side of the equation. So he is back, only this time its personal. As we all say in this business, dont get emotional.

Isnt it interesting how the takevover bid by EWC came when NWT was around its highs for the year. Given that NWT was in the strongest position it had been in for years, the share price was only going to go higher. Thats why EWC put the bid in. Why? If the share price kept going up them EWC would have no chance of taking over the company. As we know the market is all about confidence. So by submitting a take over notice best described at amateur, EWC wanted to attack the confidence of the shareholders and drive the price down, therefore trying to make their take over offer reasonable.

The way in which the bid was delivered was to create panic, which is what happened. So what was the best thing for the NWT board to do. Firstly dont panic. The reason why the board hasnt responded in great detail to the takeover bid is because it doesnt want to give EWC any attention that it doenst deserve. The board is just allowing EWC to show their true colours. Now for the boom. Wait for the next general meeting. That is where all will be revealed. Its like a game of cards.

My view, the bid wont go through, consolidation will occur down the track and the bottom line will continue to improve, which I can only see NWT being in a prime position to be a takeover target again. However this time by a entity with half a clue that works within an industry that can provide synergy with NWT's current operations.

Thoughts anyone