SDL 0.00% 0.6¢ sundance resources limited

suspension , page-208

  1. 42 Posts.
    All of you whinging about the SDL board need to come down on earth and face reality. The reality check is that all the resource stocks have come down. The market sentiment has clearly changed since 2011. AGO used to trade between $3.50-$4.00, it is now at $1.40. GBG used to trade around $1.00, it is now $0.27. SDL is nowhere near AGO/GBG, both of them are IO Producers. SDL would have been trading at $0.12-$0.15 cents without this TO offer. Any resource no matter how good and prospective it is requires finance to get it going. Until the finance is sorted, it is just a prospective resource under the ground. $6 Billion is required to fund the development and infrastructure, which means no one will put his hands up for TO besides Chinese. SD board clearly knows that and they know very well that no other offer would be on the table if this deals falls through. The Chinese know this as well and they want the best deal for themselves like any other shrewd businessman. Now the question is whether SH are prepared to wait until this deal gets through or willing to wait for a couple of years until the world economy improves and the sentiment towards resource stocks change or prepared to take losses at $0.12 if the deal falls through. The choice is yours.
 
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