Agree Albeast. Small chance that the deal would fail. This is really a no-brainer between AGO and GIR and I dont think there is another contender out there that could offer similar synergies as to what AGO could.
The big Australian miners dont seem to be constrained by ore reserves at this stage. It would have to be a foreign takeover bid of GIR with the guarantee of bank-rolling major infrastructure works for McPhee and Daltons. But then they would still be constrained by port capacity.
I think the more likely scenario is that once AGO and GIR have merged, you will see somewhere down the track some takeover interest on the new AGO. GIR is much more attractive now that is in bed with AGO, and I suspect there will be many watching once production within AGO ramps up to target (using combined GIR and AGO resources).
I'll be sad to see GIR gobbled up but very pleased that its AGO. 8.9 cents per share to $4.40. What a ride!
GIR Price at posting:
$4.40 Sentiment: Hold Disclosure: Held
