I think it is a shame that the long term investors lost so much...

I think it is a shame that the long term investors lost so much money considering most of them bought at a much higher price. And it IS a really cheap trick for GEM to push the price low just so that they can claim they offered "33.3% premium", but do you really think they could've done that without KIM agreeing to it? I don't think so. I believe they had it all sorted out and agreed on some time ago and KIM was willing to accept the $0.70 offer, however, it would ridiculous to offer $0.70 if the market price was already $0.70 wouldn't it?

Investors who bought at a much higher price than the offered $0.70 obviously isn't going to sell, but I think this is exactly why they offered such a low price. Because they don't want ordinary shareholders to sell. They probably already got most their targeted amount of shares (approx. 14.9%) from Kimberly directors holdings.

All being said, I don't see GEM's offer as such an insult so much as an offer to help. We all know that Kimberley HAS the high value diamond mines, they just don't have enough money to back themselves up. Sure, GEM might be taking advantage of KIM because they are in difficulty and needs help, but in regardless, the directors probably still see this offer as a good opportunity to help them improve financially, and even technically since it is said GEM will help KIM with their expertise, etc.

I believe in the very near future, KIM is going to get into shape much quicker and better, and start to actually make profits. So in my opinion, the long term investors don't have to worry a thing, seems to me KIM does have a bright future.