truth in takeovers, page-4

My thoughts...

Since Senex threw their hat in the ring buying at 27/28c it would seem that it has just been speculators buying (at 28c +) over past few days. Shareholders saw the 25.5c bid from DLS and thought if they can get a premium to this then they are getting a good deal.

Smaller companies such as DLS and SXY (and?) are jockeying for position. The reason I say smaller companies is that multi-national energy companies are watching the region with interest. Each of these smaller companies are takeover targets in their own right....and either one of these would be more attractive with Acer's assets.

It seems almost inevitable that Acer will be taken over (or form joint partnership) within the next 12 months. Smaller companies are currently bidding to get in early 'pre-drill' results. Opportunistic bidding at it's best...and it only factors in conventional assets.

What is important in the near term is who gets a blocking stake. Neither Senex or Acer will want this company to sell for 25.5c per share....and IMO they will not let it happen.

In terms of the current price, the downside is limited (i.e. a 25.5c per share base) and the upside is huge. There are at least 2 parties interested to purchase the assets for at least 25c per share pre-drilling.

I will sit tight for any further announcements. The only reason the SP has stalled is because of liquidity. Check out the buy/sell ratio (on screen) and you will see what I mean. The only big buys on the market will come from off-screen transactions when big holders decide to take profits.