sudden dump, page-35

I did the sums and these guys only have to cough up AUD$385M to buy the whole company at 60c after taking into consideration that they already own 20% of company. Translated into USD that figure becomes US$251M. Noting that this company in the good times (2 months ago) produced an unaudited profit of AUD$60M and also noting that the Chinese always plan for the future I would suggest that such a move would be on their agenda and I would not be surprised to find out that a FIRB application for 100% has not been submitted. Also note that the AUD$385M is only $220M more than what they intend to cough up in the upcoming rights issue. Do the sums! $160M gets them 20% more of company whereas $385M gets them 100% of the company. Throw in the devastated AUD and this looks at though MGX will not be trading on the ASX too far into the future. MGX I suspect as far as FIRB are concerned would not be treated in the same way as MMX was treated as Sinosteel already had control of one mid west producer. I also think that most shareholders would jump at the chance to get 60c per share at this moment which is almost 200% above the current price.