This Deal6 Feb 2021 07:28
Thinking this morning - the length of time this sale has been going on now, 17 months since October 2019 when Dmitry said they have told the banks not to approach with low offers and they will not be rushed. With CITIB working on a success fee basis for a year and a half, UBS for at least 8 months and DLA Piper racking up a tab for 6/7 months. BoD taking shares in lieu of salaries. Flanks approval and a scalable 40moz palladium project plus Rhodium, Iridium, Coppet, Gold, Platinum, Cobalt and whatever else I’ve missed. PGM forecast looking bullish, only PGM opportunity of its kind And size on the market. This really is a mammoth task to pull together especially in the midst of a world pandemic.
I’ve always been on the Conservative side as I can’t get my head around why the sp isn’t higher but the BoD have kept recent detail eg DFS close to their chest for one reason or another. But with the length of time this is taking and the costs incurred I’m now of the opinion it will blow my expectations out the water and £10billion lock stock and barrel might not actually be out of the realms of possibility. The reason the market is way off that valuation currently is because the BoD have kept recent resource upgrades under their hat via NDA’s. Open to sensible opinions but after all this time everyone needs paying and if it was going to be a couple of Illinois it would have been a steal and wrapped up in summer of last year.
Just my thoughts...