True, I didn't think of that - I always thought an AGO takeover was more realistic, especially given what they have done recently with FRS. Now that you have mentioned it, I can definitely see reasons why WNI would want DMA to match up to BRM.
The problem for WN is they won't offer cash and DMA is way too illiquid at the moment for them to take an entry directly on the market. Any new third party interest would push the share price up by many multiples if they wanted any serious volume - it would be too obvious.
Currently, DMA only has 105m shares on offer and something like ~17m in unconverted options at last count, all which are a strike price of 20c and expire in December - so there is still a very small number of shares available, most are held tightly.
Actually it has just occurred to me that some of those options are held by the 3x ex-directors. The 2010 annual report placed it at roughly 5m options which expire in December 2010. I am now wondering about the potential implications of those options being converted.
Be good to see this years annual report, I am sure some of these numbers will have changed significantly in the last 12 months.
All this, and we have forgotten about Xing Hua - speculatively, they could also be interested in DMA for the same reasons we are speculating AGO and WNI are. If I recall correctly, weren't they were keen to take another placement before the whole fiasco with the directors happened?
It's been a while since I followed DMA, I need to go and read up on my notes again. Good to see some new discussion though - the DMA thread has been far too quiet for the past few months.
Also - I still can't believe DMA's market cap is less than $20m - I bought into this stock probably getting on a year ago and I thought it was going to crack 50c then based on nearology to BRM and how similar it's iron project was to BRM. Absolute bargain buying at the moment because the market is still waiting to see either beneficiation results or they want to see some clear direction from the directors.
Either way, it is a terribly high amount of upside and at 18c, it is hard to believe it will drop any lower.
DMA Price at posting:
18.0¢ Sentiment: None Disclosure: Held
