HFR (ASX) Thats a big fall today

Originally posted by NightWatchman ↑

Just got my hands on this - interesting read. Personally, still very bullish on HFR's fundamentals.

PotashCorp has withdrawn it’s $8.8bn bid for K+S Germany due to lack of engagement by K+S management, regulatory concerns re debris disposal and a decline in global commodity and equity markets.

In our view, this announcement is a strong positive for HFR as it potentially unlocks both parties to bid for Highfield in the coming months. We continue to believe Highfield is a takeover target on receipt of permits, which the company expects to receive this quarter. We summarise our views on the potential rationale for each party to bid for Highfield below:

Rationale of K+S bid for Highfield

K+S has the largest potash distribution network in Western Europe

K+S is an experienced European potash miner

Highfield’s potash projects have less complex geology and are expected to be lower/cost wider margin mines than K+S mines

Rationale of PotashCorp bid for Highfield

PotashCorp has demonstrated it is acquisitive and looking to establish a presence in Western Europe

Acquiring Highfield would give PotashCorp a meaningful footprint in Europe and well as potential production outside Canpotex

Highfield’s potash projects have a significant freight advantage to a number of key global potash markets compared to PotashCorp’s mines in Canada

We maintain our conviction Buy on Highfield and $3.00 price target, and implied return of >130%. Highfield remains our top pick in the ASX resource space for 2015.

PotashCorp has withdrawn it’s $8.8bn bid for K+S Germany due to lack of engagement by K+S management, regulatory concerns re debris disposal and a decline in global commodity and equity markets.

In our view, this announcement is a strong positive for HFR as it potentially unlocks both parties to bid for Highfield in the coming months. We continue to believe Highfield is a takeover target on receipt of permits, which the company expects to receive this quarter. We summarise our views on the potential rationale for each party to bid for Highfield below:

Rationale of K+S bid for Highfield

K+S has the largest potash distribution network in Western Europe

K+S is an experienced European potash miner

Highfield’s potash projects have less complex geology and are expected to be lower/cost wider margin mines than K+S mines

Rationale of PotashCorp bid for Highfield

PotashCorp has demonstrated it is acquisitive and looking to establish a presence in Western Europe

Acquiring Highfield would give PotashCorp a meaningful footprint in Europe and well as potential production outside Canpotex

Highfield’s potash projects have a significant freight advantage to a number of key global potash markets compared to PotashCorp’s mines in Canada

We maintain our conviction Buy on Highfield and $3.00 price target, and implied return of >130%. Highfield remains our top pick in the ASX resource space for 2015.

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Hi NightWatchman.
Good find.
Can you please advise me where I can access that report/information.

Cheers

No.	Vol.	Price($)
2	38485	29.5¢

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38485

29.5¢

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34.0¢	17644	1

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34.0¢

17644

No.	Vol.	Price($)
2	38485	0.295
1	50000	0.290
1	12356	0.270
1	4000	0.265
1	20000	0.260

No.

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Price($)

38485

0.295

50000

0.290

12356

0.270

4000

0.265

20000

0.260

Price($)	Vol.	No.
0.340	17644	1
0.345	3500	1
0.350	10700	2
0.360	20730	3
0.365	1450	2

Price($)

Vol.

No.

0.340

17644

0.345

3500

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10700

0.360

20730

0.365

1450

(20min delay)
Last 32.0¢		Change 0.005(1.59%)		Mkt cap ! $125.4M

Open	High	Low	Value	Volume
31.5¢	34.0¢	31.5¢	$76.73K	233.3K

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