Wow, the NKP story is just proof of how short term we investors...

Wow, the NKP story is just proof of how short term we investors are.

It reminds me of a theory that Paul Fianni, Ex UBS who personally stopped QANTAS from falling into the evil hands of private equity seconds before the GFC likes to point out. He states that investors will take the short term trend of any business/company, and extrapolate that out as if it will continue for ever, and then base decisions upon that data.

For so long, we could not find anyone interested in doing a deal...at any price. All the majors had a look, and for what ever reason, decided it was too hard or not worthy of some sort of work out...even with performance conditions/court rulings/approvals.

Then Xijin takes the opportunity to take a call option effectively...and now there is all this talk of potential other bids or interest coming from other parties. Really??? Lets be real. The Chinese will position themselves to get the cheapest best deal possible. If that involves bleeding us for the next 6 months, they will.

Oh what short memories we all have.

Kiril.

I hold...lots.