All Active Asset Capital Share Discussion Threads

[arf dysg] 10/2/2006 12:38

Shares magazine reports on Adastra results and mentions the takeover bid(yesterday's issue). It's reasonably positive. Shares magazine last week has a letter from a reader mentioning the takeover offer.

[arf dysg] 10/2/2006 10:46

ADVFN should remove the above post. It's a scam. It looks like a classic scam - buy a stock and then email lots of sheep to tell them to buy it to make the price go up.

[Abuse team] 10/2/2006 05:10

Post removed by ADVFN

[rambutan2] 10/2/2006 02:04

and a bit more on it. i might be tempted by a 1:1! From Creamer's Mining Weekly News Today Hostile bid 'severely undervalues us' - Adastra ------------------------------------------------------------------------------- Exploration firm Adastra has claimed that First Quantum's hostile bid for it has severely undervalued the firm and that the share ratio should not be 1:17,5, but rather 1:1. CEO Tim Read on Wednesday claimed that the firm would be contributing 45% of recoverable copper-equivalent resources and on an all-equal basis; its contribution to the combined group would be 55% by 2009. Read was addressing delegates at the 2006 Mining Indaba in Cape Town where global miners are assembled to attend the three-day conference. At First Quantum's stand in the exhibition area, all executives remained tight-lipped about Adastra's presentation and would not comment. This was despite Read's quips that the executives should occupy the front row to "have a clear view of the numbers I am putting up". He said that Adastra would be contributing 21% of copper-equivalent production by 2009, not the seven per cent First Quantum claims. In a month, Adastra is due to release its definitive feasibility study into the Kolwezi tailings project, the jewel in its crown and the reason that First Quantum aims to take over the firm. The study will indicate that 97% or resources can be converted into reserves, argues Read. He also pointed out that firms with projects at this stage saw their share price increase by 98% in a short period of time and that the average premium paid for such shares was 50%, not the six per cent premium offered. Some 51% of the firm's shareholders, which include Merrill Lynch and its founder, have indicated that they will not be supporting the bid. First Quantum's hostile takeover bid was first announced by the firm on January 18, at which point it offered $2,23 a share. This, it said in a statement, was a premium of about 24% at the time. Chairperson Philip Pascal had previously indicated that the offer, which was announced formally on February 2, was at a fair price and offered value to Adastra shareholders. The project, in the Democratic Republic of Congo, has resources of 112-million tons and is expected to benefit the impoverished community, which has a 90% unemployment rate. Finance has been received from the Royal Bank of Scotland to the tune of $75-million, while South Africa's Industrial Development Corporation and Investec have committed $120-million to the project. Already Murray & Roberts Cementation and GRD Minproc have completed the plant design and the firm has indicated it will be making use of a hydraulic mining method. Total capital expenditure is expected to come in at $350-million. Throughput is at 2,3-million tons a year and the mine will produce 33 t to 200 t a year of copper and 5 900 t a year of cobalt. Negotiations are under way to pre sell 50% of the cobalt. South Africa's Industrial Development Corporation and the World Bank's International Finance Corporation will hold equity in the project, leaving Adastra with a majority holding. It is due to start the due-diligence work after the release of the feasibility study.

[gardenboy] 09/2/2006 23:31

ram, that's a great read ! "He started off by inviting any people from First Quantum to move up to the front row so that they could be sure of seeing the figures he was going to display"

[rambutan2] 09/2/2006 10:40

good stuff... http://www.minesite.com/storyFull5.php?storySeq=3302

[ianwc] 08/2/2006 11:36

ball is back in FQM's court. I would expect a second offer at a better price. No doubt FQM are working overtime to suss out what price would be acceptable to major stakeholders in AAA

[arf dysg] 08/2/2006 10:48

RNS item out - presentation in South Africa. It mentions definitive feasibility study out soon: "early March 2006" It mentions project financing: 50% in progress and expressions of interest to finance another 150 million USD. Looks good. I suppose I'd like a few definitions of things like the "export credit tranche" of the debt, the "senior debt" and "senior subordinated debt."

[mr ashley james] 07/2/2006 15:56

Rambutan, Trust you saw African Copper Plc LSE:ACU Grades Released today fantastic grades and intersections IMO. Cheers Ash:)

[rambutan2] 04/2/2006 20:08

yep, that's what i call a resounding rejection... M&G Investment Management, Adastra's largest shareholder (14.8%), together with Mr. Jean-Raymond Boulle, the founder of Adastra and its largest non-institutional shareholder (beneficial shareholding 7.7%), Merrill Lynch Investment Managers (5.2%) and other major shareholders, who in aggregate hold more than 50 per cent. of Adastra's issued share capital have advised the Board that they do not find First Quantum's offer attractive and would support the Board in rejecting the offer.

[arf dysg] 03/2/2006 16:26

RNS item out. There we have it: the bid is dead. quote " and other major shareholders... who hold in aggregate more than 50 percent... do not find the bid attractive and would support the board in rejecting it."

[mr ashley james] 02/2/2006 21:38

Rambutan, Thanks for the link will set up threads on Simmer and Jack Mines Limited JSE:SIM and Aberdeen International Inc TSX:AAB for data storage as per usual. We have made good money we move on! Cheers Ash:)

[sivadnoj] 02/2/2006 15:29

Here we go.... FM First Quantum to make formal bid for Adastra Minerals Stockwatch 565 words 2 February 2006 Canada Stockwatch English (c) 2006 Canjex Publishing Ltd. First Quantum Minerals Ltd (TSX:FM) Shares Issued 61,673,628 Last Close 2/1/2006 $43.00 Thursday February 02 2006 - News Release Mr. Philip Pascall reports FIRST QUANTUM MINERALS ANNOUNCES FORMAL BID FOR ADASTRA MINERALS First Quantum Minerals Ltd. will file with securities regulators in Canada and the United States its formal offer to acquire all the outstanding shares of Adastra Minerals Inc. and mail First Quantum's offering circular and related documents to Adastra shareholders on Feb. 2, 2006. The offer is open until 5 p.m. Toronto time on March 10, 2006, unless the offer is withdrawn or extended by First Quantum. Under the terms of the offer, Adastra shareholders will receive one First Quantum common share for every 17.5 Adastra common shares held. Based on the closing price of First Quantum common shares on the Toronto Stock Exchange on Jan. 17, 2006 (the day prior to First Quantum's announcement of its offer for Adastra), of $38.94, the implied offer price of $2.23 represents a 24-per-cent premium over the Adastra closing price of $1.80 on Jan. 17, 2006. The implied offer price also represents a 31-per-cent premium over the $1.70 equity financing completed by the board of Adastra in December, 2005. "Today we are putting our proposal to bring together Adastra and First Quantum directly to the shareholders of Adastra. We see this as a very exciting opportunity for all involved and trust that Adastra shareholders will see things similarly," said Philip Pascall, chairman and chief executive officer of First Quantum. "Since our offer was announced, we have been very encouraged by the positive feedback and support that we have received from shareholders with investments in both companies who have recognized the sound strategic and operational logic in combining Adastra and First Quantum. However, we remain disappointed that the board of Adastra would appear still not to recognize the potential that a business combination with First Quantum offers their shareholders. We believe our track record in Africa is proven. We very much look forward to having the opportunity to demonstrate how First Quantum's 10 years of experience gained through developing and operating mines in the Copperbelt and Mauritania can have a major impact in funding and developing the Kolwezi copper-cobalt tailings project and the Kipushi copper zinc mine more efficiently and effectively than Adastra would be able to do on its own. "Following our initial attempt to negotiate an agreed merger, Adastra raised $10-million by issuing shares at a dilutive $1.70 each, well below the offer level we had communicated to them. Furthermore Adastra implemented a shareholder rights plan. We see the SRP as an unnecessary delaying tactic in circumstances where Adastra has already had ample opportunity to provide their shareholders with an alternative proposal to this proposal. Ours is a compelling offer at full and fair value and we will be asking securities regulators to set aside the SRP." The formal offer and takeover bid circular will be filed on SEDAR and on EDGAR. Adastra shareholders should read the circular and any other materials relating to the offer, copies of which can be obtained on SEDAR or on the EDGAR website. Innisfree M&A Inc. has been retained as First Quantum's information agent.

[rambutan2] 30/1/2006 17:31

up 7% today so far in canada.

[rambutan2] 30/1/2006 02:19

http://www.advfn.com/p.php?pid=brokersnotes_tandc&pdfid=501&filename=Adastra%20Minerals%20Inc..pdf and this of interest as katanga nearby... http://www.wallstreetreporter.com/profile.php?id=15805

[rambutan2] 25/1/2006 19:34

cheers ash, will do. came across this... http://www.resourceinvestor.com/pebble.asp?relid=16439

[mr ashley james] 25/1/2006 18:56

Rambutan, Take a look at next one alphabetically, Aberdeen International Inc TSX:AAB tell me your thoughts (could be next Tan Range Exploration Inc TSE:TNX to go IMO) All IMHO, NAG, DYOR etc Cheers Ash:)

[rambutan2] 25/1/2006 18:00

just seen your reply ash, and agree with it all! and if pushed, suspect that acu has biggest upside as things stand.

[rambutan2] 25/1/2006 17:55

arf, as i see it, trouble is that still over 2yrs (excluding any other delays, which as we know are quite possible) before aaa get it into production. that's a long time to wait. perhaps too long. if it was starting up in 2007 i think that everyone would be prepared to sit tight - aaa must be very much regretting the time they wasted on the alternative flow plan - but 2yrs? meanwhile they can get into fqm which is still a growth stock and will participate fully in any copper squeezes, is a liquid stock, has an excellent management with a record of delivering and is itself a potential takeover candidate. hmmm. on the other hand, is the 2 year wait worth it on a long term view? once into production what multiple of current share price might we expect. rather depends on situation with cobalt mkt i spose and how aaa management can play their potentially price making role in it. also, i wonder what copper might still be in the ground? kipushi is small scale, fqm don't even put any value on it, and pretty unlikely ever to be a company maker, but could still be a nice rev source for an independent aaa. and the legal sit with the diamonds hasn't even got a mention, although remember that when i last heard i was told that a top stateside no win no fee lawyer was on the job. very long odds, but potential huge payback - what a bummer if fqm were to benefit from the payback. hmmm.

[mr ashley james] 25/1/2006 17:29

Rambutan, Difficult to call the bid is in TSE:FM Stock, I think the share will hit C$42 Short term probably, and I do think TSE:FM will end up being the regional African Copper Powerhouse if they pull this off, and remember I have the greatest amount of respect for Clive Newall and team. By the same definition I think African Copper Plc LSE:ACU is grossly undervalued and extremely well run. You put me in the impossible position of liking all three shares Adastra Minerals Inc TSE:AAA, First Quantum Minerals Limited TSE:FM and African Copper Plc TSE:ACU. Which has the greatest percentage upside in 2006? Probably IMO African Copper Plc as US and Canadian Institutions climb on board but in reality you can never tell. All IMHO, NAG, DYOR etc Cheers Ash:)

[arf dysg] 25/1/2006 17:19

If I read that article on the Canadian board correctly (re-posted on the other thread here on ADVFN), major shareholders don't want to sell at anywhere near the current price. If major shareholders won't sell, FQM can't buy. That means the upside from here is much higher than 150p. I'm holding on and waiting to see what happens.

[rambutan2] 25/1/2006 16:19

so ash, the question is do i sell my aaa now and put the money into more acu? it goes against my principles, but odds are that aaa upside is 150p and that may take some time to reach. while acu's upside is most likely to be much greater and it could add plenty quite quickly. hmmm.

[mr ashley james] 25/1/2006 15:45

Adastra Minerals Inc Issue of Equity RNS Number:4028X Adastra Minerals Inc 25 January 2006 25 January 2006 FOR IMMEDIATE RELEASE Adastra Minerals Inc. ("the Company") The Company announces that it has issued 167,500 common shares of the Company pursuant to an exercise of options. Application has been made for these Shares to be admitted to AIM on 30 January 2006. This information is provided by RNS The company news service from the London Stock Exchange END IOEKZLFLQFBXBBV

[gardenboy] 25/1/2006 05:53

http://www.resourceinvestor.com/pebble.asp?relid=16425 Adastra Minerals' Board Dismisses First Quantum's Offer By Craig Wong 24 Jan 2006 at 04:48 PM EST VANCOUVER (CP) -- Adastra Minerals Inc. [TSX:AAA] rejected an hostile takeover offer from First Quantum Minerals Ltd. [TSX:FM] on Tuesday, calling the all-stock offer too low and ''opportunistic.'' The junior miner said the offer is below a previous one floated by First Quantum in discussions aimed at a friendly deal in November. ''The initial view of the board of directors of Adastra and its financial advisers is that this opportunistic offer significantly undervalues the company,'' Adastra said in a release. Adastra shares gained 14 cents our about 6% to C$2.49 in trading on the Toronto stock exchange after the news, while First Quantum shares were up 20 cents at C$37.90. First Quantum has offered one of its shares for every 17.5 Adastra shares, making the implied value of the offer C$2.17 per share or about C$167.1 million. The November offer would have seen one First Quantum share exchanged for 15 in Adastra, an offer that was rejected at that time as ''undervaluing the company and its prospects,'' Adastra said. First Quantum said Tuesday the company stood by its offer made last week. London-based Adastra, whose shares trade on the Toronto stock market, said its board has formed a special committee to deal with further offers. ''Shareholders are urged to take no action until the special committee and its advisers have had the opportunity to review any formal offer once made and the Board has made its recommendation to shareholders,'' the company said. First Quantum is interested in Adastra's copper-based interests in Central Africa. When it made its offer, the deal represented a 24% premium over the previous day's close. UBS analyst Tony Lesiak noted that Adastra's key Kolwezi copper and cobalt project as well as the company's Kipushi copper and zinc mine are well endowed and in First Quantum's backyard. Vancouver-based First Quantum operates major mines and tailing deposits in the Congo and the Kansanshi copper mine in Zambia. ''With First Quantum's solid track record and infrastructure on the Zambian side of the copperbelt they are also ideally located,'' Lesiak wrote in a note to clients

[rambutan2] 25/1/2006 01:57

and for the record... Adastra Minerals Update on First Quantum Minerals Ltd. Approach London, 24 January 2006 On 18 January 2006, First Quantum Minerals Ltd. ("First Quantum") announced that it will make an unsolicited share exchange offer to acquire all of the outstanding shares of Adastra Minerals Inc. ("Adastra", the "Company"). The initial view of the Board of Directors of Adastra (the "Board") and its financial advisers is that this opportunistic offer significantly undervalues the Company. In order formally to respond to First Quantum's offer, the Board has formed a Special Committee comprising John Bentley, Etienne Denis and Bernard Vavala, three independent directors, and has retained N M Rothschild & Sons Limited as its financial adviser and the Special Committee has hired Torys LLP as its legal adviser. Adastra's legal advisers are Stikeman Elliott LLP. The recommendationof the Board and its reasons supporting such recommendation will be mailed to shareholders and filed with securities regulators in Canada and the United States within 15 days following the time that any formal offer is made for Adastra. Adastra notes that First Quantum approached Adastra about a potential share exchange offer in November 2005, at which time it proposed an exchange ratio of 1 First Quantum common share for every 15 Adastra common shares. The exchange ratio proposed by First Quantum in its 18 January press release (1 First Quantum common share for every 17.5 Adastra common shares) is significantly inferior to that proposed in November, which at that time the Board rejected as undervaluing the Company and its prospects. The Board is committed to achieving maximum value for Adastra shareholders, whether through eliciting an improved offer, completing the financing and development of the Kolwezi Project, or otherwise. Shareholders are urged to take no action until the Special Committee and its advisers have had the opportunity to review any formal offer once made and the Board has made its recommendation to shareholders. About the Kolwezi Project Adastra's Kolwezi Project consists of two dams containing 112.8 million tonnes of oxide tailings, grading 1.49% copper and 0.32% cobalt, as determined by Dr. Isobel Clark of Geostokos Limited, a "qualified person" as defined by the Canadian Securities Administrators' NI 43-101. This resource has the potential to host one of the world's largest and lowest cost cobalt producers. Royal Bank of Scotland has been mandated to arrange the international commercial tranche of the financing for the project and the Company has received expressions of interest in lending to the project from a number of public sectorfinancial institutions. The definitive feasibility study is expected to be completed in early March 2006. If this study is favourable, construction is expected to commence before year-end, with first production planned for the third quarter of 2008.