1. Yes, correct. The Areva litigation is still pending, BUT there will be behind the scenes talks going on with Paladin, who of course now control Summit, re some sort of settlement deal. Areva took their 10% stake in SMM purely on the grounds of trying to secure a significant proportion of the output of uranium. Now, of course, it would be in Paladin's interests to have guaranteed offtake as well, so it's really just a case of working out an agreed deal.... I have no inside knowledge that this is happening, but a very strong (!) suspicion... ;)
2. The Credit Suisse holdings are yet another chunk of shares that are basically off the market for trading, at present. Of course, if they decide to liquidate those shares, then that would push the price DOWN rather than up, even if they did it with bot trading (which I'm sure they would).
The bottom line is that Summit, as an entity itself, doesn't really exist any more - it's just a ghost shell company still listed on the ASX. My view is that anyone buying those shares hoping for a quick trade have rocks in their heads! The very point posted by the original poster that the share price has been so stable (read "static") is proof enough that it ain't going to go anywhere much.
I suspect that a deal will be done that will give Paladin the Areva shares, possibly in return for the guaranteed supply that Areva are looking for. That would give PDN 92% of the shares, and would allow them to make a compulsory acquisition of the remaining shares.
SMM Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
