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3.28%

31.5¢ mount gibson iron limited

Any takeover is likely to come from the major...

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11,181 Posts.

41

12/07/16

09:15

Post #: 18246471
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Originally posted by Mongrel ↑

I think you're both drifting from the discussion, which of course is natural if you want to support your prejudices. My statement was very simple: on ANY metric, MGX is worth more than its cash holding. Valuing it's currently profitable operations and assets as zero is both a nonsense and an unsustainable argument.

While you could argue that the market is always right and that MGX's current SP is how the market values the company, the original discussion was on t/o value. There is very little chance that the board of MGX would ever support any t/o at cash backing only. No matter what your views are on value. I can say this with considerable confidence as the majority of MGX is owned by Chinese interest who are in it for the iron ore business, first and foremost. To think otherwise is incredibly naive. It also completely ignores the fact that, if those majority shareholders wanted a cash backing price, all they need to do is have the company do a capital return.

So no, nobody will be buying MGX at cash backing and "get a profitable business for free".

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Any takeover is likely to come from the major shareholder(s)...anyway...

MGX Price at posting: 30.0¢ Sentiment: Buy Disclosure: Held
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(20min delay)
Last 31.5¢		Change 0.010(3.28%)		Mkt cap ! $365.5M

Open	High	Low	Value	Volume
30.5¢	31.5¢	30.0¢	$296.8K	964.6K

Buyers (Bids)

No.	Vol.	Price($)
2	101000	31.0¢

Sellers (Offers)

Price($)	Vol.	No.
31.5¢	242807	6

View Market Depth

No.	Vol.	Price($)
1	37120	0.920
3	45770	0.915
3	31253	0.910
3	68342	0.905
2	44392	0.900

Price($)	Vol.	No.
0.925	15328	2
0.930	89494	6
0.935	70442	3
0.940	72592	7
0.945	128342	5

Last trade - 16.10pm 02/12/2024 (20 minute delay)

MGX (ASX) Chart