Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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It may seem odd, but it's very much available within a FSP. Follow the lexology link in the first post here and you'll read it yourself.
I never said it would be immediately trumped, but the option for whatever comes out to be out bid, is very much there.
GLA
I'm hoping Tesla buy HZM for the nickel. Didn't apple drop the EV project?
And who can forget loglorry and jaknife........2 turkeys looking forward to Christmas!
Mac4671 - I just don't think it will happen like that personally, I think all that negotiation on bids is happening right now, UBS will be going between the various parties and building the bid up, I just don't think we will get notification of the first bid and then it is 'open house' - that would seem odd and a bit disorganised.
I think it unlikely that whatever bid comes out is then immediately trumped, it is all being done behind closed doors with NDAs in place, to be honest those that fail to secure the resources may not want others to know they were in the game and lost as they will lose face. They have their chance now to put up the most they believe they can afford with regards to the PGMs available - go high or go home I reckon.
Mac
thats correct, ADFN do have that rent a space, that you pay for with advfn plusone coin. i spent alot of coins removing that idiot big brother and posting excellence posts up instead. its a great idea but in the wrong hands it sucks.
atb
The sheer onward demand we are going to see for all battery materials means it makes sense for any battery manufacturer or big car company following the EV route to buy into the raw materials.
Surprised it's taken them so long although some have made moves.
DS mentions Tesla in this interview.
https://youtu.be/EndQueg8YlE
Tesla + Anglo American Platinum Limited and Platinum Group Metals Ltd = Next Gen battery dream team?
https://www.angloamericanplatinum.com/media/press-releases/2019/15-07-2019?fbclid=IwAR3vXG8WpfZMIIEDMvGSlDbMHGuRcnab6WjcUsVya3ddNZIrJlUe9WQZzYs
"Lion Battery project successful with Li-sulphur next gen battery design using 8-10g Pd as cathode layer to 500 cycles (Target 1,000+) with 4x energy density vs Li-ion."
4x energy density, that is a vast improvement!
https://electrek.co/2020/07/21/tesla-secret-project-palladium-new-model-s-model-x/
But also bare in mind that spacex use PGMs in their rocket thrusters. Nickel and cobalt are also at MT.
GLA
It was me who suggested tesla could form part of a conglomerate to bid lovelyboy, i'll dig the post out.
GLA
Mac - afternoon to you.
Someone mooted a few weeks back about a EV company like Tesla being possible bidder. I've been chewing this over and it's not as crazy as it may seem imo. Musk has got pockets deep enough to try it on - and he's a very unpredictable guy (some think genius some think crazy) but obviously he's done something right to achieve a net worth of $70B.
It would be a serious coup if Tesla could secure a line to battery metals - and maybe a few REE to boot.
Apple are also seriously working on a EV project. A good friend of mine was VP of Engineering at Tesla - Apple head hunted him and he jumped ship. These 2 companies need any competitive advantage they can take if they are to jump ahead and dominate the market.
But at the end of the day WTFDIK lol - just putting an alternative on the table for debate.
ATB LB
There are some very good LTH posters on ADVFN Rattie, they just got drowned out at one point after the bank RNS, so i stopped going there. There seemed to be a system where you could buy the space for like a title head area, where shorters etc could post what they want and it was the first thing seen by anyone going into the thread. I thought it was a bit of a shame to have such a thing in place on a public board tbh.
GLA
Neither have i crabby, that's why the concept of one is so intriguing at the minute.
It's why i dug a little further into what can happen within a FSP, and to try and understand why the BOD started it in the first place.
Metals prices, South Africa current issues with underground mining, Russias moment to seize further market control, Chinas need to secure supply lines for new emission standards. They're just some of the reasons for a highly competitive bidding was scenario materialising imho.
55% for me if one happens.
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Pertinent and well researched comments. Over at ADVN, Excellence has raised the conundrum for we reasonably affluent holders, who would much prefer shares instead of cash and for purely selfish reasons an AIM company would be ideal for me-ie no scrambling around for other shares. There was a wealth of suggestions on that site, one CHF which I hold and another ,not mentioned there, PYC,both 5 baggers at least. So I am looking forward with a certain amount of trepidation, which is hilarious looking back just a year !!
As you say last non consolidated Palladium play, cheaper than the rest to mine, proven resource with the best calibre of of BoD and banks working for EUA. I’ll guess the second offer is 40% higher than the first. I’ll guess the final offer is double
Mac - I have no idea to be honest never been in a company that’s been in this situation before. A lot of figures bounced around since I got in last November.
If another buyer is willing to outbid the first it shows they really want it / really don’t want anyone else to have it. So hopefully if that situation arises they throw in a stupid offer that blows the first right out of the water.
Just have a guess, i'm just interested in peoples thoughts on such things. Seeing as we have a highly evident Russia vs China scenario, as a bare minimum, situation staring us all in the face.
I personally think we will attract a increase slight greater than historical figures, around the 55% mark.
GLA
They will all have 'landing zones' crabby, but that's not the question.
What percentage increase on the first bid, do people think we will achieve if a bidding war starts, are we going with historical figures of 30-50%, or something different?
"The Last Non Consolidated Palladium Play"
GLA
By this point the BoD know how much they want for assets or full company. The buyers by this point also also have the ACF report to benchmark from so the winner is the one with the deepest pockets. DD has been going on for some time as well so buyers know whether they can afford it or not by now I would think
Anything that is announced, can always be out bid within a FSP RMR -
"As such, a competing bidder can always make a higher bid and the board of the target company can always withdraw its recommendation."
The takeover code is to make it as transparent as possible. So i'm expecting the first recommended from the BOD to be announced, and then that offer will be out bid by competitors imho.
GLA
Mac4671 - personally I don't see that happening, I think it will all be done before any announcement with an outright bid recommended by the BOD and that will be it, if bids are close then surely UBS will be talking to different parties edging it up as required until there is a 'winner' - bit like an auction behind the scenes. That's my view anyway.
What percentage increase on the first bid, do people think we will achieve if a bidding war starts, are we going with historical figures of 30-50%, or something different?
"The Last Non Consolidated Palladium Play"
GLA
Leads to everyone getting paid a handsome sum -
"In summary, the Company now has success fee based engagement letters signed with UBS and CITIC Merchant, and Eurasia's relationship with VTB Capital continues to be as previously announced on 25 November 2019."
https://www.lse.co.uk/rns/EUA/restoration-of-trading-on-aim-ilk6kjyqiv7ihse.html
Also, don't forget the ex investment bankers on the BOD. This is an investment banking game, they're the professionals in the field, they all know exactly what they're doing -
DMITRY SUSCHOV
Non-Executive Director
Commodities trading veteran (primarily various grades of metallurgical and thermal coals) who has successfully built a major Pulverized Coal Injection (PCI) franchise throughout Asia, Europe and America with an annual turnover of up to $100 million, therby accumulating around 2.5% of the global PCI market share. He is also an investment banker with extensive experience in the Russian resources industry having previously worked with IG Capital, MDM Bank, PricewaterhouseCoopers and Ernst&Young as mining & metals leader in corporate finance for Russia and CIS.
ALEXEI CHURAKOV
Strategic advisor to the board
Mr. Churakov is a former Goldman Sachs and Morgan Stanley senior investment banker specialized in the mining sector. He has a background in cross-border M&A transactions operating from Moscow, London and New York. Alexei brings his extensive experience in mining M&A as well as maintaining a hands on approach at operational level.
A bidding war is very much available within a FSP -
"As such, a competing bidder can always make a higher bid and the board of the target company can always withdraw its recommendation."
https://www.lexology.com/library/detail.aspx?g=886cfad0-7f5a-4577-87e8-9136cd83b835
(Click the 'view original' tab after following the lexology link, if it doesn't take you directly to the article.)
"However, for companies with a small number of valuable assets, a would-be farm-in partner or asset purchaser might instead consider buying the whole company, meaning that the transaction then becomes a public M&A process subject to the Code. If several would-be bidders for the company emerge, an FSP may be the most desirable means to pursue that process."
Now where could we find several would-be bidders for the company? -
"All existing non-disclosure agreements interested parties have already signed with the Company in relation to the potential acquisition of the Monchetundra asset remain valid."
https://www.lse.co.uk/rns/EUA/statement-re-formal-sale-process-jtwyvaxxdax49q0.html
GLA