Member Info for gmed-2

Anyone who would even consider this offer badly needs the attention of a good therapist. But there are five other suitors out there, so let's wait to see if we get a serious offer.

I wouldn't be a bit surprised to see a takeover bid one of these days.

Cost of capital is another slippery concept. Makes sense in theory, but just about impossible to apply with any accuracy in practice because to determine cost of capital you first have to come up with your cost of equity. I wish I had a quid for every hour I've spend arguing cost of equity. I'd be rich.

Mirasol - there is no scientifc or economic way to determine discount rates. You just start from some sort of a base (gilt rate, for example) and then adjust according to personal appraisal of risk or probability of return. It's very much a subjective thing.

Jim - the major sentiment change is out of tech into value and defensive shares. The party is just getting underway, but I expect it will be a good one. I'm just curious how long it will take for the fund managers to can their virtuous principles and join in.

I doubt that it's a cross-trade because the margin is too wide for a trade of that size. It looks more to me like two buys at rising prices. If it is, we may get a major shareholder notification.

"Praise the Lord for ethical investors"

Amen

Hey Funky, why are you wasting your time with kzg? What you really want to do is start a company to profit big-time from your betting talents. You float it on AIM and pay some broker to write a glowing report or two detailing your betting history. If he exaggerates a bit, that's ok too. So then you collect a nice chunk of cash and pay yourself a handsome salary. You don't actually have to do much betting, just keep promising the shareholders that "the big one" is right around the corner. When you need more cash, just place some new shares and let all your friends and family subscribe and sell them forward. You won't have to buy them Christmas presents ever again, believe me. We'll miss you here on the kzg board, but you really ought to take full advantage of your talents.
PS - If you need a non-exec director who'll let you get away with all of this, I'm available.

Mib - you make a number of very good points. But I think I'll wait a couple of weeks to see what 4q production numbers are before drawing conclusions. I agree regua will be crucial to any kind of successful mining operation. And yes, the gold (or lack of it) is becoming an embarrassment. If the decision has been taken to put it on the back burner, then say so!

The government keep listening to that lunatic at Imperial. His models have been consistently ridiculously alarmist - and totally wrong.

Right Geng. In winter/spring 1919 it apparently mutated into a far less deadly form and then just sort of withered away.

A few months ago there were a couple of virologists who predicted exactly what is happening now. They said the virus would mutute into a form that was far more contageous, but less deadly. It seems it's a known viral survival tactic when the number of potential hosts becomes too low (because of immunity, vaccination, etc). Their conclusion was that the pandemic will be over, for all intents and purposes, by springtime. I'll believe it when I see it.

I've been wondering when the buying would start to come in. Reasons enough to buy just lying around in open view.

I'm not sure that Masterman knows any more about the sp drop than we do. I think it may be simply a case of persistent light selling in the face of little or no buying, which, in thinly traded shares, often leads to exaggerated price movements. Oddly enough, this kind of weakness is often a wonderful buying opportunity. I wouldn't go so far as to call this one of those opportunities, although it later may prove to have been one. A lot, of course, will depend on 4q production and the absence of any more "unfortunate unforeseen developments/blunders". I myself expect fairly good numbers, perhaps even a very nice upside surprise, although we do have to keep in mind that the quarter's production will be influenced by the Christmas break. (Or do you suppose the mine would continue to work 24/7 through what is normally a 2-week break?)

Poppyseed, many thanks for the super research and for passing it on to us. Much appreciated!

Before the NZ parliament votes on this bill, all the MPs ought to check out what happened in the US during the Prohibition years. It might just help their thinking.

Big Bazooka - I don't know who pulled out or, in fact, if anyone pulled out and the deal is still live and neither does Funky. But I think we share a strong feeling that is based on: a) the strange way the financing deal has gone b) the idea that the company is almost certainly now generating its own cash or will be very shortly and c) plain common sense that you don't give away a good chunk of your company unless there's no alternative. I think the diamond operation changed everything almost overnight and caused a total reassessment of how the company plans to go further. The share price is now discounting a lot of confusion and uncertainty, as well as the idea that without the external financing, the tantalite operation cannot get anywhere. So if it turns out that the tant operation can proceed nicely without any external financing/dilution, I think you can expect to see a very significant increase in the share price.

I think you're right, Funky. I believe it was Kazera that pulled out of the deal at the last minute, not the other way around. If that's true, we come out of it better, longer term.

Can't remember how long I've been a shareholder. But I do remember filling in my buy order with a quill, if that's any indication.

Amazing that no one makes a takeover bid for this company.