Hey SW, Just wanted to correct one of your assumptions - "A...

Hey SW,

Just wanted to correct one of your assumptions -
"A fully franked BCI dividend of 15c is due on August 21, all IOH holders who accept the deal will be eligible. Including franking credits, this is worth approx 20c per share 4,400 x 20c = another $880 value so we now have $15,080 from our initial $9K worth of IOH shares."

From the announcement today -
"BC Iron expects to announce a fully franked, final dividend for FY14 of A$0.15 per share. The Record Date will be prior to issue of BC Iron shares to IOH shareholders."

Therefore, we ioh holders will not get the bci divvy, only the 10c as part of the takeover offer. The only way you get the bci divvy is to sell ioh now and buy bci prior to the bci Record Date.

I'm still digesting all of this - only found out tonight after getting home to emails from ioh re the announcements. The 10c per share erodes the ioh cash balance by just over $16mil, leaving approx. $35mil (based on cash holding at last quarterly) although we know now that ioh have received some income from MIN for IV, albeit only small for a "bulk sample".

Need to look at this tomoz with a clear head. At first glance it looks good but one wonders what MIN and BOA/AQA will be thinking of this development. Time will tell.

Cheers,
Mac


Please dyor.