The Offer

The following figures are just approximates for the sake of this discussion. Please do not get uptight on the suggested takeover price as eventually it could be higher or lower.


Zijin Mining is worth 79billion HKD or 60Billion CNY which is around A$13.5 billion.

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Zijin controls some 61% or 549m NKP shares. Minorities hold 350m shares.

It is reported by Scott Li that Zijin holds 100m options. Therefore Minorities must hold 167m options.

Lets assume that Zijin makes a takeover offer tomorrow at 20cents.

They would have to outlay for shares .......350m x 20c = $70m

They would have to outlay for options.......167m x 10c = $16.7m

That's a total of $87m

You would think that for such a small amount when compared to their market capitalisation that they would not be wasting their time and reputation. Makes you really wonder about Zijin's motivation.

Note:

In the above example once the options lapse the Minorities expected takeover per share would increase to 25cents.