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ginger, no I didn't vote leave. I have a brain. Not one that knows what an OP is though...
An amazingly sensible post hidden amongst the usual petty arguments.
I would add that, due to the potential NDA's in place, I would be surprised if any more information would be made available to the market before the sale is announced.
As such, all price estimates are speculation on here. Sime backed up with assumed figures, others not.
There are a lot of trumpian children on here newbie, who are unequipped to defend their corner or enter debate. Probably all brexiters too, to whom any reasoned argument is dismissed as 'project fear'. Don't take it personally. It's these boards all over.
I posted a while back pointing out why it is nonsense to say '40m oz in the ground, 40m times X poun an oz gives Y value'. What if half is under a layer of granite and another quarter in some compound form that's expensive to process?
A prospective buyer will assess the available info and deduce how much it will cost to extract X oz over 20 years. And at what profit after the costs of extraction and processing. This formula determines their offer price. But they need info about the resource to do this.
The only way that the resource being large comes into play is that if there's enough there to mine for say 100 years, then at the end of the 20 year period, the resource is worth pretty much what it was to start with, assuming similar demand and accounting for inflation. So the original capital is safe and can be recovered, which is very attractive. If however, the resource is exhausted after 20 years, the original capital is lost and so the profits need to be much larger to account for this.
None of us on this board know anything about the resource other than this estimated 40m oz story. Butg we don't know how much can be extracted and at what cost. Without a Definitive Feasibility Study, we cannot form an opinion of guess at a value. The company and punters may know far more... it just hasn't been published as a DFS yet. The upshot being that we cannot know what this mine will sell for. As has been said, the bank and legal players involve suggest it ought to be a lot. Which is why I'm in here. But I have no illusions about price. At the least I hope to get y money back, at best make a 3 bagger overnight.
This is called rational argument. Some might find it hard work because it requires using a brain.
Don't worry about the people filtering you, have a read of the RNS's etc. Important fact that PATT doesn't seem to appreciate is that multiple companies came to EUA to buy them/assets, EUA didn't put up a for sale sign. They didn't go out looking for buyers they came to them. Can multiple companies all be wrong about what they know EUA are sat on? Seems unlikely.
Ask yourself why UBS agreed to carry out the FSP on a no-win-no-fee basis.
Ask yourself why DLA Piper have now been employed recently.
Of course no one knows the final price but the market can't take in to account that a bidding war may ensue. Of course it may not but it's very hard to price. The price will only be truly reflected once a bid has been submitted.
Happy scot, newbie scot, bot scot.......they're all the same, stuck in the green coffin lol
GLA
Not to mention, creating a new account for each investment - seems less than nooby & more like Purchse new account (so he can talk to himself) & stroke mooorreee.
Reported for referencing terrorism
Because of the value of the in ground resources, to work it out take some serious digging and info spend the time work out what you believes there and invest wisely.
So, new guy here, honest question to increase my knowledge and I immediately get abuse.
How rather wonderful.
It really is an honest question to understand the delta.
Just do one, one post & take your negative sshhshhhhiiiiittteee with you.
Prepare to be filtered mate
All, complete newbie on trading, so please be gentle with me, so an honest question. If the markets have the same information we have on here and are valuing EUA at sub £800M, why would a buyer value it at such a large multiplier as has been suggested on here. WOuldn't the market also be looking to buy into such a good profit? Or is the valuation close to being accurate?
Honestly really hoping for a plus £1+ offer, but curious why the market isn't pricing that in.