Now that I've stopped laughing and had a think about today's developments I've come to the conclusion that Hanlong's decision to buy the 16 per cent Talbot Group's stake in Sundance is a great vote of CONFIDENCE.
Talbot Group could have dumped the shares on the market in one million lots and then we would have had plenty to worry about.
Does someone know something we don't? The worry beads would have been working overtime.
The sp would have plummeted.
Hanlong's decision to buy into Sundance says plenty. This mining company/investment house has run the ruler over Sundance and likes what it sees.
Why else would it stump up $190 million dollars to buy a 16 per cent stake? It must see plenty of blue sky ahead.
This will not have a negative impact on SDL, what does it matter if Talbot or Hanlong owns the shares? It doesn't.
But it says plenty to me that a company, which by all accounts is pretty astute, is prepared to invest that much in one of the world's best up and coming iron ore plays.
Game on.
SDL Price at posting:
49.0¢ Sentiment: Hold Disclosure: Held
