latest on takeover rumour?, page-3

You claim to have access to information not publicly available - some term this 'rumour', some have other names for it!

You may well be proven correct but let's look more closely at what you claim.

If what you say occurs, and calculating in the conversion of the convertible notes, there would be 387,815,478 ordinary shares in AUO.

At $1.20 this would value the company at $465m - WOW!! This, for a company that only had $79.5m revenue over the last 12 months.

Yes, I'm aware that prices have risen and revenues will improve, but if I was a new investor pumping cash into Austral Coal Ltd I would know they probably have limited options and I would try to get the biggest stake I could for the least cash - $1.20 a share is a HUGE premium to what it was trading for only a couple of weeks ago!

By the way, if what you say occurs, and calculating in the conversion of the convertible notes, this new investor would only have just over 20% of the issued capital - not 25%.

Again, I'm not saying what you predict won't happen, just that anyone investing on the basis of 'rumours' should do a few calculations first.

All the best to AUO holders.

Regards
Beefheart