EAR 0.00% 32.5¢ echo resources limited

I think NST will try and get away with a +50% bid = 38 cents per...

  1. 5,132 Posts.
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    I think NST will try and get away with a +50% bid = 38 cents per EAR share.

    The EAR shareholders are the least consideration.

    The EAR directors and management will be running over the figures to see how many of their performance rights and bonuses will be met within the bid, and how much they will personally rake-in.

    They will then be working out a formula for how to maximize their own profits, and then a way of how to "spin" it to shareholders so they can get the requisite vote. It's a slimy game, it always has been.

    It's a fine line that the EAR directors tread;
    1. They need the requisite votes from shareholders,
    2. They need to maximize their own personal profits, and
    3. They need to satisfy NST to continue with the bid.

    The second option is their principle priority though.

    If the bid satisfies their greed, then they may recommend it, otherwise they will probably try and negotiate further with NST, in which case, NST may offer other incentives to them that are not related to cash or script (and that shareholders will never learn about), that is, give some of the EAR directors and managers a job, or buy them a boat (on the side) that gets listed as administrative expenses, or build a new swimming pool in their homes (again, listed as administrative expenses) etc ...

    By now, you should all know how the market works, especially at the small cap end of town.

    I'm sure all the experienced "long-in-the-tooth" posters here, with connections down on St Georges Tce, know how the system operates.

    Sorry, if you are new to small-cap mineral investing, but you will learn over time, these truths are just a fact of investing life, and you are meant to be grateful for the scraps you can pick up whenever possible.

    You are perceived as nothing more than a tramp or wino, sleeping rough and cold in an alleyway, being thrown 20 cents by a passerby, who expects you to be grateful. Welcome to the homo-sapiens world.

    Gw
 
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