I have thought a lot about Ansteel making a takeover play, something that would usually been seen as a positive unless it's the Chinese.
Personally, I dont think it will happen. They already have 68% of the mine (they own 50% of it and 36% of gindalbie), so essentially they are in control of Karara. And lets be honest, who knows how much more of the other 64% of GBG they actually own?!
The reputational damage they have taken over the SDL takeover I think will prevent them trying a similar tactic with GBG (manipulating share price down for a low-ball takeover offer). Other than bagging the other 32% of profits, I see very little upside for additional reputational damage.
Transfer pricing laws will prevent them selling Karara's product at a lower price and they will still need to pay Australian tax.
Personally I just want them to run this mine responsibly, let GBG trade on the ASX for the long term and they can have all its magnetite at a fair market price.
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