mim - vote no and pigs will fly

  1. 17 Posts.
    Remember this, - small shareholders always loose. (comparatively speaking)

    If small shareholders vote the Xtrata bid down then watch out the MIM shareprice will drop to $1.30.

    In time (say six months) Xtrata may come back with a revised bid but by then our dollar will be worth 70 cents US. –so don’t expect a significantly improved bid. But the revised bid is likely to be a conventional takeover offer requiring 90% shareholder approval, effectively cutting out the influence of small shareholders.

    And then what is Platinum Asset Management up to? These young sharks run a hedge fund, - they are playing with our money. Do they really care whether the takeover succeeds? Probably not. What they care about is moving the market and having the inside knowledge. They put themselves in an excellent position to judge whether the proposal is likely to get up and that is all they need to profit from the market.

    Then ask yourself this, - who is in a conflict of interest situation, – the CEO or the independent directors? So who’s advice would you take?

    Remember the GIO takeover? At that time the big boys accepted AMP’s offer but not the small shareholders. So at the end of the day who was laughing all the way to the bank? - Not the small shareholders!

    A rational decision demands a vote FOR the resolution but that is a tall order. Small shareholders invariably get it wrong and have a poor track record.

    Good Luck!


 
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