The media reports will prove to be true but the Chinese have simply plucked the 50 cents figure out of the air. It's an ambit claim and unlikely to be unconditional.
I hate to say it but they'll continue to string it out and probably try to push the price even lower when the SDL board does what it has to do and rolls over in the absence of another bid.
The Chinese will prey on the fact that SDL has no income stream, limited cash reserves and no plan B. Iron ore prices are likely to remain low for some time and I fear this sad story has a way to go yet.
Apologies for the pessimism. I bought at 60 cents and will be glad to see the end of it.
SDL Price at posting:
33.5¢ Sentiment: Hold Disclosure: Held
