I think you need to be more realistic in this market.
$1 would imply about $45mm value to STB with 30%. IGO has 70% which would imply $105mm to IGo, with some correction for free carrying STB through BFS.
IGO currently has a market cap of $420mm, and EV of about $270mm which includes the fully developed and producing Long mine which earns an EBITDA margin over 50% even with current pon, the mine itself contributing near $30mm pa NPAT to IGO. IGO also has 30% of a 5mm oz gold deposit (with huge upside) just coming out of BFS stage.
We'd need to find a spotted quoll or similiar imho to excite the market to $1 imho, but with similiar number of IGO and STB I would be doubly happy if you are right.
I am happier if the STB price stays down for now, I'd like more, but at a safer price.
EL
STB Price at posting:
25.0¢ Sentiment: LT Buy Disclosure: Held
