Kerry announced to too loudly. Must have been trying to flush...

Kerry announced to too loudly. Must have been trying to flush out a bid, I am sure of it. Otherwise he would have accumulated quitely. But hey.....do you reckon BHP or Xstrata will come out....not at these prices. Don't expect a bid anytime soon.

Iluka Falls After It Says No Talks Held With Packer (Update1)
June 21 (Bloomberg) -- Shares of Iluka Resources Ltd., the world's biggest supplier of zircon, fell after the company said it hasn't held talks with a group of investors including Kerry Packer, Australia's richest man.

The stock fell as much as 2.7 percent, paring an 8.8 percent gain yesterday on speculation the Packer group, Kolsen Pty. will make a takeover bid. Iluka hasn't been approached by, or held talks with, Kolsen or Buka Minerals Ltd., part of the group, the Perth-based miner said today in a statement.

Iluka's stock has risen 24 percent in the past six months amid a surge in the price of zircon, used to make glaze for ceramic tiles and sinks. Packer, who has a $5.3 billion fortune, and fellow investors including former Normandy Mining Ltd. chief executive, Robert Champion de Crespigny, may not be planning any immediate takeover, analysts such as Geoff Breen said.

``We do not expect a takeover offer in the near term, but from experience, we would never second-guess the de Crespigny- Buka syndicate's next move,'' Breen, a mining analyst at RBC Capital Markets in Toronto, said in a report yesterday. ``The next move is probably not the obvious one of a simple cash offer.''

Iluka shares fell as much as 21 cents, or 2.7 percent, to A$7.72 ($5.98) on the Australian Stock Exchange. The stock traded at A$7.78 at 3:27 p.m. Sydney time. Yesterday, the shares had their biggest gain in 11 years. Buka shares rose as much as 1.5 cent, or 5.4 percent, to 29.5 Australian cents after rising 33 percent yesterday.

Xstrata, BHP

Buka, chaired by de Crespigny, said June 17 that it co- ordinated the group of investors. The Kolsen group, which said June 17 it had bought a 7.5 percent stake in Iluka, hasn't made a decision about its investment in Iluka, it said in a statement to the exchange yesterday.

The stake is worth A$131.2 million. Interests associated with Packer hold 50 percent of the group's stake in Perth-based Iluka, Buka said yesterday. Buka said June 17 it had invested about A$5 million as part of the group.

Possible bidders for Iluka are Zug, Switzerland-based miner Xstrata Plc, and BHP Billiton, the world's biggest miner, Marcus Padley, a trader at Tolhurst Noall Group Ltd. said today in a note to clients, citing Tolhurst resources analyst Glenister Lamont.

``It would be surprising if Buka intends to take over operational control of Iluka and current actions are probably more directed at putting the company in play,'' Padley quoted Lamont as saying. ``Key bidders have to be Xstrata and BHP Billiton.''