BEWARE SHORT TRADERSSome NWE shareholders may accept the offer...

BEWARE SHORT TRADERS

Some NWE shareholders may accept the offer of MIN shares thinking they'll be able to immediately sell them at $93/share. This is a risky assumption.There will be at least a 3 week delay from the close of offer on20/2/23 before you receive your MIN shares & your SRN number.

So while MIN might be trading at $93 on 20/2, the SP is likely to have changed by the time you are able to sell them. This is a dream situation for short traders who will know at least some ex NWE shareholders will want to sell their new MIN share as soon as they can and start shorting MIN immediately prior to the scrip issue on 22/02, knowing that if even a third of new MIN shareholders sell, up to 1.5 million MIN shares could be on offer immediately after the new shares are issued and they'll be able to buy them back cheaply when the newly issued shares flood the market.

The alternative is that you hold your MIN shares until the MIN sp recovers. This is also risky.Iain justified the BOD U-turn decision by saying there is greater risk associated with holding NWE shares but there is risk holding any shares and certainly downside risk in MIN shares valued at $93.There are several reason why MIN shares could trade back down to $45 where they were 6 months ago. The Lithium price could fall, iron ore price could fall, there could be further delays at Mt Marion, world recession etc. All of these risk factors have to be weighed against the downside risk of NWE's SP falling, when it's sitting on Australia's largest gas field in history. That gas is not going away – in fact we know the amount of gas we have is going to be increased – that is why MIN want to own it now.

A cautionary tale of what can happen in a scrip takeover is the 2007 Paladin(PDN) takeover of Summit (SMM).PDN sp was $10.40 – SMM shareholders received 1 PDN for every 1.67 SMM , valuing 1 SMM share at $6.22. SMM had started with $4million in 1987 & sold for $1.23 billion.Within 5 years PDN shares were worth 30 cents & after 10 years were worth 5 cents.

Back then, short trading was not as prevalent back as it is now.

Huge thanks to alexii, jctrout, seahunt ,Pottermore, Tui & many other very knowledgeable on this forum who have explained to us all the value of our NEW shareholding.

for all the reasons above, IMHO, the obvious decision for NEW shareholders is do nothing.