Oh. I didn't realise that. That explains why I couldn't work it out. Wow, they are ruthless cheap skates. They negotiated this with management/board and have put no skin in the game? No wonder there are a lot of miffed KDR holders. So essentially they have the board and whomever else effectively bought shares on their behalf. I wonder what their agreements are like with those players if they walk away. There is no protection for the shareholders as there is no consequence of them walking away, but SP could be destroyed. Holders might want to be careful here if they choose to wait for a short squeeze or higher bid. Wow. Just wow!
Now I am thinking that for the board to agree to this, they must have been having trouble lining up the finance for the development. I wonder why. Maybe they never really intended to develop it but were just looking to on-sell from the start. I mean it doesn't look like a price like Allan Bond buying Channel Nine from Packer back in the day, that Packer described as a once-in-a-lifetime offer from an idiot, or something to that effect. Its an ok price this month, not an ok price in year or two for what is meant to be an all star resource.
GXY Price at posting:
$1.53 Sentiment: Buy Disclosure: Held
