News: PDZ UPDATE 1-Poland's JSW eyes controlling stake in Prairie Mining -CEO, page-16

Yes it is strange they are so public about it all. My view on this is that their perceived value is so far above the current share price that any increase based on their comments are immaterial to them.

I strongly believe that NPV will come into play, but let's assume another metric then. I'm not right across unv but understand that that offer values them around A$190m. Forcast EBITDA is A$93m. Resource is around 100mt of thermal.
So offer at roughly 2x EBITDA.
To put things in perspective Debiensko EBITDA is projected at $A390m, and Jan karski EBITDA projected at $A480m.

To suggest 60-70cents implies a value of $A130 -150m , being only 16% of full production EBITDA.
So on one hand you say unv is being stolen at 2x forward EBITDA, then on the other suggest it would be a good outcome for pdz to accept 0.16 of projected EBITDA?? Seem like a disconnect in reasoning there.

After 8 months plus of exclusive access to pdz data room and negotiations, as well all that has been said to the press, I doubt jsw will low ball pdz to that extent. It would be a complete insult to pdz and the time spent over the last 8 months.
Keep in mind the share price rose to near 90 cents on the mear rumour of jsw interest initially.
I think the offer price will have a lot less to do with the current share price and a lot more to do with how much value jsw see in this. Clearly they want to get moving, they have announced it as part of their forward strategy after all. It is not in their interest to have pdz tie up these resources in legal hurdles for years to come either.

Yeatesy