Will this get any of the other major holders to increase & play some ball?
Will POSCO increase? Will Mitsubishi counter?
If Sino want the 49% vs. say 20% to excert their power on the board they will need to acquire shares from some of the larger holders. Im sure a few institutions will be happy to jump.
Harbinger bought there 20% for say est $4. They probably wont be able to recover as they will want too much for their shares so sino wont go to them for shares.
POSCO could sell there 13% to Sino & move on or counter & block Sino by buying more & increasing to say 20%.
Currently POSCO & Harbinger have 33% - If POSCO went to 20% could give them 40% between them.
Then sino would need to shop around. The directors would be one avenue as they will be first to be dumped under Sino so why not sell & be dumped as per MIS.
It is now up to the institutions on what price if any they may offer sino to get up to 49%.
MMX brought harbinger out to buy MIS in there T/o offer so will Sino's move start some interest from some one else.
If i was a large company i'd be buying at these rates knowing the eventual price paid by Sino will be more than it is now & if sino buy's 49% Then the MMX shares available becomes deminished which increases the price as demand out ways supply.
If Sino take their 49%, Harbinger keeps their 20% & POSCO Keeps their 13% we have a total of 83% of the shares held by three companies. This alone would push up the sp as not many shares would be left for anyone else.
Portman is a compnay that had something similar - Not to sure of exact details but basically they didn't get the 90% until recently & the lack of available shares pushed it up.
MMX Price at posting:
70.5¢ Sentiment: None Disclosure: Held
