SLX are doing there own DD so as to determine whether they...

SLX are doing there own DD so as to determine whether they should enter into a binding agreement for an option to take an equity position in GLE, whilst also allowing for the potential introduction of new investors to GLE.

That's a quote more or less. So heaps of wriggle room I think you'll agree.

The argument that GE has withdrawn from its equity interest in GLE (via GEH) so as to secretly at some future time recapitalise SLX so as to have an equity stake in SLX, which in turn will have an equity stake in GLE as a result of the recapitalisation is just too many steps for me. Plus, unless it is being done without SLX's cooperation, it would be a pretty clear breach of continuous disclosure. And if it is being done without SLX's cooperation, it is really an extraordinarily risky play.

The fact that SLX refers to 2 parties doing DD to me suggests that it is more likely that the "potential introduction of new investors to GLE" is way more likely.

If it is a combination ie SLX "enter into a binding agreement for an option to take an equity position in GLE" and introduce "new investors to GLE", then I think that the sensible conclusion would be that SLX's equity stake will be quite/very small. This doesn't bother me as SLX will still (until such time as they say otherwise) be receiving the royalty from GLE.

I know you disagree, so we'll have to agree to disagree. I guess my view is that what evidence there is, doesn't support your proposition as much as it does the view that GE are out. Still, happy to admit error if it does turn out as you prophesize.

But it doesn't mean I'm not long to the gunnels. Far from it.

K