POSCO offer with PLS is highly conditional and only a MOU. This was a hedge and a strategic play by POSCO whilst in negotiations with Galaxy.
POSCO cant take galaxy over because they need Galaxy knowledge and expertise to get thing happening.
On shipping, I think Galaxy are stupid to ship and bring in revenue with this tax bill pending. They will stock pile and realise the revenue after they have minimised tax on the sale. This would be the smart thing to do, dumb retails will cry because the quarterly will look bad, but its irrelevant in the scheme of things and in fact will benefit the bottom line from a tax minimisation view point. I DONT WANT TO SEE A SHIPMENT THIS QUARTER!
Very interesting times.
GXY Price at posting:
$2.17 Sentiment: Buy Disclosure: Held
