SDL 0.00% 0.6¢ sundance resources limited

takeover vs no takeover

  1. 1,107 Posts.
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    With all this talk about Takeovers, I thought I would start a reasons for and against thread.

    Reasons Supporting A Takeover

    - Hanlong have positioned themselves with almost 20% of holdings.
    - Chinese are going to be tied in with rail, port, finance and offtake.
    - China already heavily involved with Cameroon.
    - It would make sense for China to want to cut out the middle man.
    - SDL haven't exactly welcomed Hanlong with opened arms
    - It would be cheaper and more profitable for the Chinese to take over the company.

    Reasons Against A Takeover

    - A takeover could ruin relationships with Cameroon and Congo Governments, putting the project at risk.
    - A takeover would be risky considering the mining permits havent been issued.


    Conclusion

    There are probably more reasons supporting a takeover, however the reasons against a takeover probably hold more weight.
 
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