Dingyi are clearly intending on purchasing ELM, hence the...

Dingyi are clearly intending on purchasing ELM, hence the raising of all required funds.

I think the strategic question needs to be asked though, why are they paying 66c when the independent report suggests the max range is under the bid price?

There are a multitude of valid reasons for a 66c, or even higher bid, however we know that the Chinese still love getting the cheapest possible price more than most. On face value, if I were the Chinese I would have come in lower given the independent report.

However I have reason to believe that they were pushed into getting the bid onto the table to have first mover advantage, and so I do think there is another potential bidder(s) that have yet to play their hand on ELM.

Remember, the Directors have only recommended the bid unless...
"a superior proposal emerges"

At the moment there is one proposal on the table, and I would think that if the Directors wanted a higher price, the smart move would be to recommend the current Dingyi proposal.

Firstly, ELM need some Working Capital to continue operations for the rest of the year. Dingyi are pumping $5m into ELM in a side deal to this bid proposal.
So this ticks the box on cash in the bank.

Secondly, I believe that by recommending the Dingyi bid, this would flush out competing bids sooner.

If the Directors had gone against Dingyi's bid, other suitors may have sat back and watched Dingyi bid the price up or pull the pin. Both large advantages to know if you haven't played your cards yet.

I think the next few weeks are going to be very very interesting....