I was just reviewing the corporate advisor ANN's: on 24/4, EOC announced the review was over and no change of control would occur; then on 28/5, Macquarie was appointed to undertake a review again- just one month later. Unusual, but why not?
This one will be sold, imo. An offer of 60c in Dec 2011, then a slump in coal prices, and a share price of 24c mid-2012, and more progress has been made. The Board of Directors seems a little top heavy for this tiddler.
The AFR has an article saying that the Samuel process was concluded after shallower seams of coking coal were found. The AFR also says that hedge funds climbed into EOC thinking a deal would be done. HSBC only represents clients, and they seem to old the shares of Indus Capital Partners, a hedge fund that climbed on board EOC in July. Maybe this action by HSBC is just to force a takeover?
EOC Price at posting:
24.0¢ Sentiment: None Disclosure: Not Held
