Within the last 6 months, Conglin Yue has taken control of Orion...

Within the last 6 months, Conglin Yue has taken control of Orion Metals (ORM) and particpated in a capital raising at Northern Minerals (NTU).

For ORM, Conglin Investments offered 16cps, a 122.2% premium to the previous shareprice and now controls 69.71% of the issued capital. Silvergate also own 0.74% of ORM.

For NTU, Conglin was the largest shareholder a week ago, infront of Lynas Corp (LYC). NTU have just completed a capital raising at 20c, with Congline Yue taking as many shares as he could. His particpation in the capital raising will increase his shareholding in NTU to 19.9% and represents an additional investment of $3 million in NTU.

So, what does this mean for CAP?

The million dollar question for me is will Conglin Yue work with Silvergate, be netural or oppose Silvergate?

After Conglin Yue's recent expenditure on ORM and NTU does he have funds remaining to increase his shareholding in CAP or would he consider selling his CAP holding to Silvergate to fund his recent investment in NTU? Would he participate in a capital raising or allow his holding to be diluted? IMO, Congline Yue is the most important piece in the CAP puzzle at the moment.

From previous experince, Chinese interests do not normally compete against each other. If Conglin Yue and Silvergate work together at the EGM, thats 35% of the issued stock voting as one, thats a big number for all other holders to overcome and would result in both our largest shreholders (both Chinese backed) having board representation.

Both Conglin Yue and Silvergate have an average price of approx. 40c. IMO, a take over offer will come by the end of the year and it will be approx 50c per share cash.

The EGM will be very interesting indeed.