Look at the total volume of shares traded. Note the share price went up on big volume, leaving a snailtrail of buy orders. The share price went down on low volume, at a time that listed sells got swamped by buy orders, leaving potential buyers hesitant. There were hardly any decent sells at the line of scrimmage.
Note 8horses posts of monthly trades and notice one particular Insto, who also is our top shareholder (but as Nominee holder ... and yes
@8horse, I understand the nature of Nominee holders, as previous posts of mine will attest). The previous monthly report showed they accounted for nearly 40% of total traded share volume for what was little or no change in their overall holding.
WHAT? Are they hesitant? Are they just pip traders? Now no one would suggest they're market manipulators. Certainly not me
but what's the deal there?
A back of the envelope calc to me is ... by "the old rule of 1/3 thumb" that AJM were always so keen on ... if AJM has a Project Value of $A500m in the current market climate, then surely PLS has $A1.5b. Combine these two babies together and you get a total Project Value of $A2b. Even with the post CR SOI of 2.9b (less $A150m in debt) that still equates to
a theoretical PLS share price of 64c ... and that's not even accounting for the value of synergies released, including access to the cherry high grade deposit on the borderline and increased market clout.
Consolidating the Pilbara creates a monster. Twiggy was prepared to pay $A3.5b for 51% of Greenbushes. We'll be much bigger than them and with big expansion prospects.
Don't worry about short term share price fluctuations. You weren't going to sell anyway. Short term moves are just vanity moves.
Lets hope we can close this deal. I reckon by the time this is over, Ken may have to lift the deal by $A100m. It's worth more to us than anyone else. The $A100m would represent 1 to 3c pAJMs which Ken would surely offer as scrip for scrip, save cash outflow, and compensate disgruntled AJM holders. The only downside I can see, is Curiouser27 would then start posting here. If that happens HC, I'm gone.
(20min delay)