Molycop will be sold off in November via either IPO or to a...

Molycop will be sold off in November via either IPO or to a private equity buyer (Hopefully it gets at least A$1.80 Billion or even a little more than that.

Arrium Australia will not be sold off until early next year (2017). Final bids are due in early December but that does not mean KM has to sell it immediately. Chances are they will wait until late January or early February to sell it off. That means Arrium Australia will have had a good 6 month of profits (1/7/2016 to 31/12/2016) with steel prices having gone up 25%, tariffs in place (between 30% to 50%) and also Iron Ore price stabilized at around US$55 per tonne for the past 6 months. This means Arrium Australia (and Molycop) would have been not only paying the interest only on the debt pile of $2.80 billion) but have millions more growing in the cash account to pay out trade creditors that had not been paid in the 2 months leading up to 7/4/2016, and KM fees for their work.

The VA may have been a blessing in disguise for shareholders - that along with the good luck of steel and iron ore prices recovering since then.

Let's see, don't be surprised come early 2017 if it gets taken over by Bluescope or someone else and the shareholders getting something back - as long as the combined sale of Molycop and Arrium Australia is worth more than $2.80 Billion, I now think we will.