nickel price looking pretty sick at the mo, page-26

Legend acquires shares in Independence Group
 $4,912,322 for 3,400,000 shares at an average price of $1.44
 Legend in top 10 IGO shareholders with just over 3%
 Remaining cash of $5 million sufficient for next 12+ months of operations
Legend Mining Limited (ASX: LEG) today announced that it has acquired 3.4 million
shares in Independence Group Limited (ASX: IGO) at an average cost of $1.44 per
share. The shares were purchased on-market over the past six weeks.
According to its 2008 annual report, IGO has a cash backing of $1.25 per share,
production assets that generated an after tax profit of $51 million (i.e. Earnings Per
Share of 44¢) and paid fully franked dividends of 17¢ per share.
Managing Director, Mark Wilson said “Our first priority is to get the best return on
shareholder funds and even adjusting the 2007/2008 figures to recent market forecasts
we see IGO as a production project that is grossly undervalued.”
“For the past six months we have been reviewing new project opportunities with a
particular focus on acquiring lower risk production or near production assets. When the
final analysis was done, IGO stood head and shoulders above other opportunities in
terms of lower risk and higher returns.
We are confident that when the market settles and projects are assessed on their
returns this investment will reward our shareholders in a shorter time frame than the
alternative project investments. We therefore expect Legend to have a greater cash
backing for future opportunities without any dilution of existing shareholders.” said Mr.
Wilson.