I don't know much about SYA but why is Min Resources selling out of AZS bad news?
It sounds like they just accept that the other joint bidders won the battle to control AZS and they are on the look out for other better value acquisitions."Chris Ellison, Mineral Resources' managing director, said late last year that he wanted to own up to 20% of Azure's Andover lithium project. The comment came a week after Mineral Resources increased its stake in Azure to 13.56%, leading analysts to question if Ellison aimed to block the A$1.7 billion takeover bid.
"We do have an investment in Azure of circa A$250 million. During the quarter Hancock and SQM launched a bid, and we intend to sell into that this half," Mineral Resources CFO Mark Wilson said during a Jan. 25 analyst call for fiscal second-quarter earnings.
Both Ellison and Hancock Executive Chairman Gina Rinehart, Australia's richest person, have taken strategic positions in a number of key early-stage lithium projects in Western Australia that could reshape the next generation of production from the world's biggest lithium-producing jurisdiction.
Keeping the powder dry
Mineral Resources "selling into the Rinehart-SQM deal is an acknowledgement that they haven't won this fight and there's others to be had, so they'll keep their powder dry" for future deals, Paul Howard, senior mining analyst at Canaccord Genuity, told S&P Global Commodity Insights.
Having done several deals with gold explorers for their lithium prospectivity since mid-2022, Ellison is looking for more in the Goldfields region in Australia, where there is "high geological potential for large high-grade deposits that will be discovered," Ellison said on the earnings call.
"If you've got prospective lithium ground out there and you're a junior, we're well and truly open to joint ventures or farm-ins, or to take a piece of the company. Who else would you want on your share register?" Ellison said."
https://www.spglobal.com/marketintelligence/en/news-insights/latest-news-headlines/mineral-resources-to-sell-azure-lithium-stake-removing-a-hurdle-to-takeover-bid-80149777#:~:text=Mineral%20Resources%20Ltd.,the%20West%20Australia%20lithium%20explorer.
