Just looking at SFR and I have a couple of observations: (i) SFR has approx $100-200m in 'non-core assets' e.g. Doolgunna Iron ore exploration which has amazing grades, the Borroroola Project in NT not to mention the rest (its interesting that TLM have just sold their iron ore project for $41m today).
(ii)the OZl shareholding in SFR which is a massive overhang as Ozl cant sem to work out what to do with their sole SUCCESSFUL investment.
My suggestion is that SFR launch a partial takeover for OZl, when SFR gains control it liquidates ALL of OZL assets, OZL then buys SFR's non-core assets. OZL then returns all its surplus cash and SFR cancels Ozl's share in SFR.
This would mean that SFR would be massively rerated up, SFR would have all the cash it needs and the stuipid overhang of OZL's SFR shareholding would be elimiated.
Any thoughts?
OZL Price at posting:
$17.50 Sentiment: Sell Disclosure: Not Held
