From the GGG...

From the GGG prospectus:

http://www.gggresources.com/sites/www.gggresources.com/files/GGG%20Resources%20Prospectus%20for%20ASX%20Listing%20with%20application%20form_0.pdf p104.

"(Change of Control): If any third party acquires a relevant interest in 30% or more of the issued capital of either party (Change of Control Party), then the other party to the Joint Venture Agreement (Acquiring Party) will be entitled to increase its interest in the Bullabulling Project to 80% through the expenditure of $2 million to develop the Bullabulling Project (with the Change of Control Party free carried during that period), provided that:

(i) the Acquiring Party has an interest in the Joint Venture Agreement of at least 50% and has not defaulted under the Joint Venture Agreement;

(ii) the Acquiring Party gives the Change of Control Party written notice electing to increase its interest within 30 days of becoming aware of the change of control; and

(iii) the $2 million expenditure is made within two years of the change of control event."

It looks to me like this effectively rules out AZX getting a "white knight" alternative bidder for the company.

AZX have said that they agree that the ownership of the asset should be consolidated. So, it is a simply choice between management teams.

We don't know how the institutions are going to vote. But Baker Steel own significant stake sin both companies, so one would think they had pre-approved the GGG bid for AZX before it went ahead.

I guess it all depends on the other institutional shareholders:

http://www.theaustralian.com.au/business/opinion/ownership-problems-distract-investors-auzex-resources-azx-70c/story-e6frg9lo-1226054942623

Colonial First State, Macquarie and Contango

I have no position in AZX, but do have a position in GGG.