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Anglo extend the deadline for a BHP sale…. They must be interested.
I believe Anglo will eventually sell… they are just playing the game… wanting a better offer.
Can you share the article please
Bloomberg television channel
Lastest offer refused, and counter deadline extended till 5pm 29th May.
Anglo didn't need to extend the deadline... so that suggests that there are a number of larger shareholders who are keen on taking the BHP offer IF it is raised a tad more.
This is also a way of luring in Glencore or other interested parties before May 29th.
Anglo are definitely fishing for a deal here.
Perhaps chinese carefully watching events and holding off on SOLG offer / deal until they know whether BHP are buying Anglo hence the $10m loan facility while this event goes on.
Obviously Chinese may well feel a bit better about making an offer if they think BHP are out of the loop which to be honest, if they bought Anglo... they wouldn't be able to buy SOLG IMHO as it would upset or wobble the TA process.
Just market chatter but opinions are BHP are not going to get Anglo on current terms. Not going happen. Too disruptive all round and also too long to complete. They neded to land a knock out offer and they knew that, so fact they ahve upped it by a tiny amount suggests even BHP know it's time to call it a day on Anglo bid.
But market now knows BHP want SOLG. That's a no brainer. It's huge copper resource would tick many of BHP's boxes but they will have to move fast as production (even under BHP would not be happening until 2028 at earliest.
Just a hunch... but unless BHP have other large targets lined up... like Glencore (LOL!), it's looking like they'll be taking SOLG out imho.
They've signalled to the market that they are copper hungry and thus currently indeed of resource and supplies in a market whereby Tier1 mine opportunties are almost zero.
Buckle up...here we go.
Why does the market know BHP want Solg??
Here is 10 reasons:
https://www.wsj.com/articles/solgold-shares-up-after-rejecting-bhp-billiton-offer-1476106605
https://www.mining.com/web/bhp-admonished-for-meddling-with-board-of-solgold/
https://www.bhp.com/news/media-centre/releases/2018/10/additional-interest-in-solgold
https://solgold.com.au/solgold-plc-announces-bhp-to-invest-a-further-us22m-in-solgold/
https://stockhead.com.au/resources/monsters-of-rock-the-junior-explorer-being-stalked-by-bhp-and-newcrest-is-adding-to-its-ecuadorian-copper-gold-bounty/
https://www.mining-journal.com/london-to-a-brick/opinion/4068025/joint-bhp-newcrest-bid-solgold-months
https://www.thisismoney.co.uk/money/investing/article-11713193/CITY-WHISPERS-Miner-SolGold-target-rich-seam-rumour.html
Ortherncopper,
I think the logic is that the market knew BHP were interested in SOLG due to their 10% stake. So that's already a show of interest. However, the market was not that sure about BHP's desired direction and which metal it favoured going forwards. The Anglo bid demonstrated a strong desire for copper resources and if you read BHP's statements on the deal they too highlight strong copper interest.
In the absence of other high quality copper resources (which Anglo have but BHP don't) that leaves the most obvious Tier1 copper investment as being very likely to meet 'some' of BHP's desires toward future metal strategies.
Their anglo bid has outted them ... insimple terms. Hope that helps you understand things a bit better. Soon be time for you to get back into SOLG won't it?
Confirmed by Henry today as a “final offer”
Amongst other things, this failure has cemented the view held by some that Henry is no good at M&A. The structure of this deal was wholly ill-conceived and he failed to listen to what he was being told by AAL shareholders. How many more c0ck-ups will he make?
Agreed, this was a bold and very unexpected move by Henry. Some might say 'opportunistic' and others might just say 'desperate'. Desperate because BHP are not positioned very well for the copper boom. And Henry's efforts thus far do look a bit heavy handed or tone deaf. If it fails and most expect it will, just imagine how Henry's going to look to his shareholders.
It might be time for him to step down before he's pushed.
Then again, if he were to secure a tier1 mine with huge folio of opportunities for under $3bln, then that might make him look pretty good indeed. But just imagine if he bid for SOLG and then lost out again.... mmm... the next one he bids on he can't afford to lose. Copper time bomb is ticking and Henry and BHP are far from ready.
Henry only has himself to blame. The guy a degree in chemistry. Speaks for itself.
Are people forgetting that BHP have a terrible relationship with SOLG? I've seen no evidence that Scott has managed to build any bridges with them at all. They seem incompetent to me, who in their right mind tells someone to sell some assets then they'll buy them? How would shareholders know what they'd get for said assets and therefore whether it was a worthwhile bid or not? Ridiculous company. I'd focus on the Chinese and steer well clear of them.
HereforHemo,
We don’t have to have a good relationship with BHP. If they bid and are successful they don’t need to be our friends they would own us and we and the management will be gone.
The question is does the Ecuadorean government get on with BHP? Nothing else matters.
Personally I think the Chinese will put their hat in the ring though would pop prefer it didn’t end up in Chinese hands.
Given they either abstained or voted for SC at the AGM, I'd suggest there has been a marginal improvement in the relationship. However, it did look as if they voted against the special resolutions, so they clearly want to keep SC on a tight rein.
Yes however if BHP is not involved in some form of JV with Jianxi for Solgold, BHP would be incredibly intimidated by Solgold's move to invite a Jiangxi friendly onto our Board.
For BHP, its either the deals done (JV); or they will go hostile when they feel ready; or they will focus elsewhere. I very much doubt they are prepared to sit back and miss out on Ecuador
BHP will never go hostile, they have said this at every opportunity.
They have often said that they will not overpay .
That's what going hostile means.
We carry on the route to production.
BBG, I agree, they most certainly don't want to miss out on Ecuador. Google 'BHP Ecuador', the first article which appears is from BHP's web site. It's dated December 2021, but is an interesting insight into their view of the country and their commitment to it.
Quady only ever talks about climate change, heat pumps, and UK elections but is quick to douse cold water on any possible speculation chat about BHP potentially acquiring Solgold. Your role and contribution to this chat board is very intriguing
Comment of the century "BHP will never go hostile" hahaha
They set up their own exploration outpost there in 2020, but I've not seen press releases about it. They don't appear to have tried to secure any prospecting licences according to the government records. I'm not making a comment on their interest in the country either way, to be clear.
BBG even you have to admit I have called this right.
I am not pouring cold water on anything.
I am invested and believe we will get a good outcome.
But it's going to take time.
BHP and their like can wait, no one is in any hurry.
So we proceed.
It's as simple as that.
Just a question for those that have been around long enough - I recall have an agreement whereby we have been utilising BHP and its resources at Cascabel.