I suppose firstly, they would be pre-empting any unfinished...

I suppose firstly, they would be pre-empting any unfinished discussions and secondly the numbers arrived at after including a declining IO price and a dilutionary effect are not very impressive.

On the second point they (GBG) would first need to promote the deal as being a win for shareholders before they start putting up the numbers.

Another way of valuing this is as I pointed out re. assets yesterday. Working out what percentage of the assets Ansteel could gain can then be valued by the installment value and then an inground value pt can be worked out.
By my reckoning, Ansteel will probably be getting a "substantial" slice of GBG's assets at what could be the lowest prices paid for years and years anywhere in the world for mag and hem.

I think the 12mtpa will be even more so on the cards if the placement goes through. Ansteel will gradually cut off imports from other suppliers and replace it with GBG ore as soon as they can because they can't source cheaper ore from anyone else. After the placement the incentive will be even greater.