RE: RNS30 Nov 2020 08:08
Speculation on my part, and getting the deals over the line required give and take. So how about this to help us understand the quid pro quo:
Sandeep: “look mate, we want some hard assets at mates rates to give our shareholders something”
GH: “same here. But you’re not gonna get the same deal at Scally as at Hav, my esteemed colleague”
Sandeep: “but give us a bone - I need something....what about we take a couple of tenements at mates rates and we’ll give you a better JV on Scally. That way you’ve got something to offer your shareholders.”
GH: “mmmm. So I’ll give you PRE and another, but we want 50/50 on Scally”
Sandeep “look, we all need something to give shareholders, that sounds ok. And we’ll chuck in a 50m loan that you can knock off the earnings. OK?”
GH: “fair enough mate. Let’s do this”
Quid pro quo.
That’s the only way the discount on other tenements could be presentable to shareholders.
Hold your breath for Scally news, and prob JV.