Kopane Share Discussion Threads

[pembury] 30/7/2010 08:01

smarm- Does the mkt not realise Kopane's prize asset is available? come on
Things are indeed hotting up and demand growing/ supply declining. Bring on the counter bid

[hectorp] 29/7/2010 20:11

Don't worry.. and what is Wendy saying? you must remember that too. :-)

[smarm] 29/7/2010 17:39

H - yes, with the news today that De Beers has received an approach for two assets in SA (De Beers are considering), I am starting to think that holding some KDD is indeed insurance. The sector is hotting up, that's for sure.

Meanwhile, I have hit a brick wall over on FDI thread.

S

[hectorp] 29/7/2010 10:54

Smarm your long and interesting post ( re Kenny etc) basically you're coming down to one word. 'Insurance' which is why I returned to KDD today as well as holding FDI.
H.

[grazzer] 29/7/2010 09:34

Seems like we've been treading water for some considerable time. Although the Firestone offer appears to undervalue the KDD assets at least it should get things moving. So on that basis, I bought some more KDD this morning (11.2). I'm sure the deal will go ahead so it seams like a cheap way into FDI ...

[asmodeus] 28/7/2010 19:07

I agree, Wendy.

[wdurham] 28/7/2010 18:36

Best thing to do, IMO, is just let the Firestone bid go through. At least we'll get shot of the Kopane "management", and if Firestone can be relied upon, we'll see better upside in the future than from some poxy counter-bid at 18p!

[debbiegee] 28/7/2010 17:44

What a miserable dilemna !
I swear those that bought millions of kdd and sold fdi the week before the announcement dumped the moment the rns was released causing fear confusion and panic !
I dont think the deal is bad for FDI but the insiders scupperred it with their inside trading giving folk the false impression that the market didnt like it and folk followed like sheep !
I guess our only hope now is a counter bid ?

[smarm] 28/7/2010 16:39

My last two posts on FDI thread:

smarm - 28 Jul'10 - 16:30 - 5006 of 5007 edit

Well, there is about 12% in it now...buy KDD at 11.12p (I bought) and get 12.57 if the deal goes through. Free money?

S

smarm - 28 Jul'10 - 16:37 - 5007 of 5007 edit

So, I rang Selftrade. Voting is a matter of instructing them (once the scheme document is out). They will then pass my instruction to the custodian. Easy.

Strangely....I will be voting yes.

Sadly.....my vote won't make a difference.

S

[half a scargill] 28/7/2010 14:36

If Scolaro is doing a spot of jobbing, then him and I are kindred spirits.

[pembury] 28/7/2010 14:30

FDI couldn't compete with any reasonable cash deal. GEMD have c$100m come along

[adam] 28/7/2010 14:17

Scolaro has been canny. But he financed KDD in the middle of a market crash when it looked like the world was going to hell in a hand basket. My understanding is that he sees a lot of upside here. I think people need to look at that too as well as this jobbing backwards.

[2admiral] 28/7/2010 14:06

Pretty poor negotiating then after six months to achieve that where was the starting point?. I'm sure he has done very well out of it but doesn't exactly enhance his reputation as a businessman leader of a Plc imo

[wdurham] 28/7/2010 13:54

Tim Read rejected 17p. It's Frank Scolaro that has accepted it. Diff'rent folks, diff'rent strokes.

[2admiral] 28/7/2010 13:48

So if Kopane's asset is that good then a counter bid should come. If it is that good well then they are currently giving it away. Even a 17p cash offer is more attractive than this deal, as it stands there is currently no premium on offer to all those mentioned values in the proposed deal rns.
Never understood how they rejected 17p a while back within a few weeks, in the meantime the asset insitu value was increased to $2.7bn (yes bn) and now it is acceptable to take a hypothetical 17p (GBP52m).

[giant steps] 28/7/2010 13:18

Excellent summary wendy.

[adam] 28/7/2010 12:17

bought some more at 11.125p. bit worried why going so cheap but market is not rational sometimes.

risk of KDD rejection as seems to me FDI getting a bargain but should then attract other bidders if truly world class.

I still can't get my head round the fact that ex De Beers guy Wilkes who knows the project and Kenny are stating 3rd best undeveloped kimberlite in world and world class asset.

It's got infrastructure like a road, water and electricity on the way and a full DFS about to be published which the purchasers have seen. A mothballed satellite plant in-situ and most important it has a mining license. Talk about looking a gift horse in the mouth, but i'm genuinely flummoxed.

In ground value per Carat is ~ £1/Carat. (Take 75% of 31m Carats versus £28m m/cap) That's ludicrous even without a mining license. Just $10/Carat would be 56p/share.

[nathand] 28/7/2010 12:10

Thanks Induna123, looks like there might be some beer money in it at least.

parsnip884 - thanks for making me laugh (sympathetically).

[parsnip884] 28/7/2010 11:44

what a total pile of sh1t this has been.

bought a few initially at 3p and did well; then traded it like a mong and gave it all back.

my bad.

[induna123] 28/7/2010 11:29

Minimal to be honest. It's just a legacy from when Kopane was previously known as European Diamonds (EPD).

The Finnish Joint Venture

The Company's Finnish assets are being operated, financed and developed under a joint venture agreement with Mantle Diamonds Limited. Under this agreement, Mantle can earn up to a 70% interest in the Finnish assets by expending $5 million, including producing a definitive feasibility study on the Lahtojoki property and issuing Kopane with 10 million shares in Mantle. To date, Mantle has spent approximately GBP725,000 in respect of the feasibility study at Lahtojoki.

The Company owns 3.3 million shares in Mantle, which have an attributed value of GBP334,000 at 31 December 2009. Under the terms of the joint venture agreement, in January 2010 the Company has earned a further 3.3 million shares in Mantle.