Speculation that SIR and POS have as a common element, similar top10 shareholders, Rob Dennis as director in POS and COO of SIR. When asked at the POS AGM recently about synergies with SIR and POS he was cut short by the chairman of POS. very sensitive obviously.
Speculation is swirling on POS circles of SIR bid for POS thereby as POS SP tanks to 10c.
Something very fishy going on here...for sure.. In any merged entity, Dennis as Chairman, DS as director, Bennett as joint CEO, POS & SIR would skyrocket. All cash or shares. SIR dont need to issue shares. Theyve got a spare $150M for next 2 years. Similar top10 holders in both other than AF. AF would love to get SIR shares and block BHP tilt for its offtake.
AF would love to take control of SIR. AF rejoins both boards. DS moves aside. Bennett joint CEO.
Bid for POS at 20c will cost SIR 30% being 200M x 20cps = $40M but save you $250M in capex over 3 years as youve got a 3 mill operation and Lake Johnston processing plant of 1.5MTpa used for Nova/bollinger ore.
Rob Dennis was asked at the AGM as to comparisons between SIR and POS and was cut short by chairman Indermeur. Dennis was very bullish on LJohnston esp emily ann where he worked, he liked POSs team and tenements clearly, he has direct access to Creasy and Bennett and likely knows our top10 holders who also hold top10 in SIR. Easy deal. Makes sense..
SIR bid at 20c to shake up the shorters and AF group, easy double up of cash, counterbid at 24c, even if AF says no SIR gets 30% of POS and creates synergies and voting power with Dennis as Chairman and Creasy and 2 other directors on POS board. Sounds a good connection, both wa companies and AF trusts Dennis with his life after their 8 years in ANL together
Its possible, the lower she goes the more a target POS is for that opportunistic bid. Easy double up of cash there for any bidder, unlikely that AForrest would block a bid from SIR as he wants into SIR.
