Any one got half a clue what transpired back here............
ZYL shares rise 26.7pc as two predators circle its coal projects in South Africa
by: Robin Bromby From: The Australian December 19, 2011 12:00AM
HAVING one potential predator is interesting; having two is positively flattering.
That's the position in which ZYL (ZYL) finds itself, and no wonder its shares went up 26.7 per cent on Friday to 19c -- although Foster Stockbroking reckons it's worth 27c.
The company has two anthracite projects in South Africa and the forecast for this type of coking coal is a global shortage of 22 million tonnes in 2015, with India and Brazil on the hunt.
This follows several approaches being made to Endocoal (EOC), one of them a non-binding offer at 60c a share. That was also the price set at last year's initial public offering, although the stock is still sluggish at Friday's close of 44c.
ZYL has engaged Macquarie Capital to advise on the two approaches, which involve partnership or acquisition. Foster also notes that Anglo America is sniffing around southern Africa for coal projects and is close to parting with $US630 million ($631m) to buy the share of the Revuboe River coking coal project in Mozambique owned by the late Ken Talbot's investment company..........
HWK Price at posting:
3.1¢ Sentiment: ST Buy Disclosure: Held
