RE: we dont have to sell our 5 %29 May 2022 14:39
OK, my opinion, and stated before, for what it's worth...
The RNS wording states, very clearly, that, "Under the joint venture agreement, if the option exercise price cannot be agreed by this date, each party is thereafter required to notify the other of its assessment of fair market value. If both parties' assessments are within 10% of each other (now 20% as agreed), the option exercise price will be the average of those assessments. If both parties' assessments are not within 10% (now 20% as agreed) of each other, the parties will proceed to independent expert determination, with the expert being required to determine which of the values nominated by the parties is to be the fair market value."
It's clear!
That all said, IMHO, we'll (GGP) be massively outside the 20%.
So, what does that mean?
If the RNS T&C are clear and accurate, then the arbitrator has to chose between the two figures.
However, there is absolutely no problem, legally, for both parties to agree to something else, prior to, or during arbitration.
The problem, is that none of us know EXACTLY, what the actual T&C state.
If, purely for example, we're 50% out in the FMV figures, or indeed maybe significantly more, do investors think that Newcrest would actually hold us to their, in this example, hugely 'discounted' figure?! That would, at the very least, completely change any relationship we ever had with them!
Let's see...We can all carp on about this, including me, BUT, until it's all resolved, who knows?!
That all said, we all know, as Newcrest do too, of course, that, at Havieron, "every drill hole is finding more gold"!
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