comment on qgc offer., page-2

I do not think QGC's offer for SGL is "low ball". Prior to the offer, the SGL's share price was 28 cents or less. It is now 38 cents - a 36 percent increase. If the market was more confident of the takeover succeeding, SGL's share price would probably be closer to 45 cents - a 60 percent increase on the pre-offer price. ABN Amro Morgans current valuation on QGC is 90 cents a share. They regard the acquisition of SGL as marginal to negative in the short-term but with synergies achieveable in the longer term. Since the bid has been tabled, the SGL share price has never been above the implied bid price. This tells me that the market regards the QGC offer as fair. I think it would be bad form of the SGL board if they exploit technicalities to stymie the bid and do not give SGL shareholders the chance to make up their own minds. SGL shareholders must be hoping the worst is behind them and that the positives of SGL will now exert themselves. However, what they should be given the chance of deciding is whether they would be better off going it alone or in concert with QGC.

I hold QGC.