gravity merger low ball offer at 28 cents

What do other holders think of the offer of 28 cents per share for the proposed merger with Mwana Africa PLC? If the proposal is approved by shareholders, GRN is to become a subsidiary of Mwana and will cease to be listed on the ASX. Gravity holders can either accept the offer of 28 cents per share or take one Mwana share for every 4 GRN shares held (subject to certain conditions).

My first impression is that it is opportunistic, given the slump in the GRN share price over the past 12 months. The 4 cent premium to today's price is actually a massive discount when measured against the price of 12 months ago. Why is it that BHP's backing is no longer enough to make headway in the Congolese diamond exploration venture currently underway?

Also, is there insufficient promise in the Abner Range Northern Territory kimberlite find to justify ongoing solo exploration? Bulk sampling is currently underway and frustrated shareholders were hoping for the results to reignite interest in the lethargic share price.

I'm going to explore the implications of the offer more fully but my first impression is not positive. Why are the directors endorsing such a low-ball offer?

What do other holders feel? 'Not happy, Jan!'

Gupper