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Does anyone know how long it is between a potential offer and a firm deal being made usually takes or is there a time scale that has to be followed
Thanks Ardtole for spotting and posting that. There is some very interesting reading on their website - all you ever wanted to know about manganese! http://www.manganesexenergycorp.com/
manganese x energy announced during the week, that they are in the process of acquiring another manganese mine in North America. Woodstock was not mentioned specifically, but it is a neighbouring mine to the one manganese x energy currently own. Further details are to announced within one month. Even if Woodstock is not the mine in question at least there is renewed interest in the manganese sector .
DALR finally moved up, inline with the Canadian price.....sort of. Should be closer to 86p bid, but at least it's moved.
Ho Ho Ho Merry Christmas everyone!!
Lol
What day is it? You've been done.
Copied from ADVFN so it must be true. BREAKING NEWS from Toronto. TSX and AIM listed Dalradian have more than doubled their offer to buy out Minco's Royalty. The new offer works out at 4'5 P per Minco share. Simultaneously Minco have announced a US$50 million bid for for their Canadian Lead and Zinc properties has been received from GLENCORE. Mr John F Kearney of Minco has welcomed the offer but said US$75 Million would be more realistic. Mr Kearney has also revealed that Mr Sharawander Singh of Tata Steel and Mr Elon Musk OF Tesla Electric Cars are interested in entering negotiations to acquire Minco's Manganese properties. Manganese is a vital component of both steel and car batteries. Mr Kearney has stated if the bid is right he's prepared to do business. Clarification of the above is expected over the weekend and early next week.
Offer price was based on $1.29. That's now trading at 10% above offer price. So in effect 2.08 for your MIO plus rest of MIO for nothing. BOGOF
If and when DALR get the mining license which will be after the 15000tn sample is smelted I reckon it will be well above $2. The bulk sample has been in the states now for over a month. 4000oz of gold in that shipment of its 9gt ore. Possibly more. Best gold play in th west and we almost are getting it for nothing.
DALR $1.38 close in Canada. Heavy late buying pushed it to $1.42. Well over 2p per MIO share is the offer now. DALR will in my opinion firm to 2.3p per MIO before the deal closes. The bulk sample news should put 10-20% on it.
In this particular case it really shouldn't be that long (a few weeks?). Dalradian don't need to do any due diligence, cause they are only buying the royalty and from the looks of the detail in last announcement the terms have pretty much been agreed between the two parties already. Noticed Dalradian Spike to 1.42 at the end of trading today in Canada. Hopefully a sign that somethings gonna happen soon.
So when or how long does a deal normally take after a notification of potential offer ???
Still alot of mileage to climb yet
For me it's pretty straight forward. DALR have essentially just valued the MIO royalty at £12m/2.5p a share and that's before planning, mine development etc. Let face it they should know what it's worth more than anyone. So either the deal goes through, which is very likely imo or the royalty will be worth much more when the mine is in production. Leaving all the other assets a side, I just refuse to sell under 2.5p at a minimum. Simple as that.
@shares_r_us If you followed Minco over the past years, you would have known that the share price would go down after the initial peak. That's how the AIM market constantly reacts. If Minco would have decided NOT TO return 75% of the Dalradian shares to the shareholders, the share price would probably go down to to 1.3P again. This time its different. Because the Minco price is not relevant as long as the deal closes. We will receive valuable Dalradian shares. For every 41 Minco shares you own you get Canadian Dalradian shares that trade much better than this Minco AIM listing. In addition to that, you will soon own Buchans on the TSX-V. That's were value gets recognized. Manganese X has a manganese project close to Minco. Only based on that project it is worth C$ 10 million!! They do not have $8.5 million of current assets like Buchans will have. Buchans = $8.5 million + Lundberg + Woodstock + Exploration Projects. So stop looking at the chart and wait for the deal to close or sell your shares - it is that easy.
luc When you have been in a share a long time and see the price drop and not going back to what you paid for it, it is frustrating and then when you see it rise quicky as it last week on that good news. I saw this go up when I first bought and then drop, and took ages to rise to where it is now. Going on past experience. You are re-invigorated and hope that it will now stabilise which it had around 2.1 - 2.4 range, but then to see it drop 10% is when frustration kicks in. Patience is key, I agree for some shares and this one is not based on hype because of the news. But agreed, watching a SP drop 10% in a day is annoying/concerning.
@shares_r_us You're reaction is understandable but is based on emotions. Thats why some people may panic a little bit now. You either take profit or you trust the deal closes. If this deal closes, the Minco share price is irrelevant. Because you already know what you will get: - 1.9P in Dalradian shares (based on Dalradian share price 1.30) - The same percertage of shares in the NewCo on the TSX-V (Buchans) If you decided to wait for the deal to close, then stop watching the share price is my advise :)
Annoying to see this drop. I knowo fluctuations hppen, bit it's when you see a share lose more than 10% in a day. I'd rather be a LTH, but sometimes, trading is the SAFEST way to make money!!
It is not surprising me that there are some sellers. To be honest, most people here are not really sophisticated investors and are just buying the news. Now they get bored and they are selling again. Some people say they expect a share price of 5P or 10P. If they really believe that, why did they not buy in the 0.5 - 1P range? I have been waiting for this news to happen for over a year. Now there are 2 options: they deal closes or it does not. If it closes we get 1.9P in Dalradian shares. So to value Minco we have to calculate the value of Buchans. Buchans will have C$5 million worth of Dalradian shares, C$1.5 million of Xtierra shares, C$2 million in cash. So their current assets will be worth C$8.5 million. That is 5.1 million GBP or 1.1P. So the minimum Minco value should be 3P. Now we have to value the Lundberg deposit and the Woodstock deposit. I think those assets are worth >C$ 25 million in a bull market, but to be super conservative and sure I give them a combined value of C$ 10 million. That is 1.2P per Minco share. So my opinion is that Minco is at least worth 4.2P if the deal closes. If everything works in our favor that can go up to 6.5P. Woodstock's NPV is over C$ 800 million. Lundberg's NPV is over C$200 million. But I think that both project require a bigger company for development. If Minco / Buchans really knows how to progress these assets and to maximize the value, share prices of >10P are possible. But I have my doubts about that scenario.
Could be someone selling who is up 50-70% and been in a long while so cashing in their chips. I can see this double from here once seller is cleared.
If as graphite tech suggests that the company could be split 3 ways, via dalradian shares, a lone manganese identity, and possibly xag, pennines, moate, buchans/lundberg amalamation. I would still hold dalradian 12/18 months, hold woodstock and possibly sell the amalgamated entity unless it was to include angelesy mining??
It just doesn't make sense to sell just now at the present price. About 3 million shares sold today, mostly at near 2.3 P. 2.3 P per Minco share equals 1 Dalr share @94P. 94P was Dalr,s SP 6 months ago and it should go back to that level within a month or two after our deal is completed. By a years time £2, £3, a Fiver ? who knows? Today's sellers are giving away for free the Canadian assets, (Canadian Zinc deal soon), the Manganese Property, $3 mil cash and nearly 4 million Dalr shares. I hope folks will hold on if they can. It'll be well worthwhile.
100% agree with that last comment. DALR news out today. Confirms bulk sample results in q2. Intensive drilling campaign and mine planning submission in 2017! A lot going on. Gold up nicely also. Nice exposure here to a raft of situations.
Just a point Mr G. The 1.95 isn't written in stone. We'll receive 1 Dalr (DNA on TSX) for every 41 Minco. At the moment Dalr are about 80P. Low volume just now until deal complete. It makes more sense to buy Minco if you want Dalr shares. Dalr were at 94 P last Sept/Oct. I think Dalr will be 2 to 3 Quid a share in a years time as they receive planning. Plans to produce 130,000 ozs gold per year ( US$ 162,000,000 @ $1250 /oz) for 1st 10 years then rising to 150'000 ozs P/A . Costs estimated at 40 - 45%. They have issued about 250 million shares which is not that high. All this is on Dalr RNS last Dec 12th. I think I'll revise my estimate for 12 months. How about a Fiver. What do you think?