another for takeover6 Oct 2015 11:47
copied from iii:
platinum price is at the bottom at the moment, however, this price will not stay at the bottom for long.many are expecting the price will recover and hence there are several platinum junior minors sitting on huge assets and yet being cheaply valued. AQP is one example, where Sibanye sees this as a bargain and worth buying (and no burden of debt, unlike LMI).
so, this should crush those punters who were falsely saying nobody will be interested to buy platinum miner due to low profitability as platinum price too low. in fact, several major players who are deep pocket will be acquiring smaller companies (like AQP, JLP) while they remain cheap.
another to watch is JLP, where JLP has massive platinum assets worth around NPV $4bn and yet their mcap only 28m. perhaps all eyes are waiting for the mining licence before they put their offer.