Just yesterday a number of people said that the acquisition of the Romanian based assets would be a potentially significant acquisition that fits within OZL's greater strategy (which I must add has subtly changed over the last few months). Now, after a failed bid, OZL and TB are being touted as geniuses for not making the decision to increase their first bid price due to the significant technical and environmental issues involved, low grade of the deposit etc.
I’m not questioning whether the above decision was the correct one AND I don’t profess to know more than OZL’s business development team BUT they seem to continually miss-out on potential acquisitions, stating that they are not willing to pay more than fair value.
What is fair value and from who’s perspective?
There has been a number of assets acquired of late that other companies have been happy to purchase, based on the premise of paying a premium above NPV (their own assessment of NPV).
Maybe it is time for OZL to re-think it’s parameters as they continually seem to be under-valuing assets?
The above is not meant to be an attack, I just think it is worth mentioning. I will keep reading with interest as I am an SFR holder.
OZL Price at posting:
$9.69 Sentiment: None Disclosure: Not Held
