Marakand Minerals Share Discussion Threads

[giant steps] 08/3/2006 10:27

Ok, for MM i agree. As richgit would say, only numbties selling out of MKD!

[ad1967mc] 08/3/2006 10:24

Brave? Not if you are a MM. The key to arbitrage is hedging your risk and booking the margin. Put simply, as long as OXS keep the 3:1 offer open, the MMs can short 1 OXS share for every 3 MKD they accumulate. They can pick up MKD on the BID and sell OXS on the ASK and pocket the difference by taking the OXS offer. In the past I've done similar deals in the oil market, arbing the difference between European and US pricing.

[giant steps] 08/3/2006 10:08

Brave to short OXS when Khandiza and Jerooy news o/s

[ad1967mc] 08/3/2006 10:08

My guess is that the sellers today are amatuer traders. They obviously have no understanding of how real market players make guaranteed money. The MMs will be quite happy to drop the bid and take as much stock as these muppets are willing to offer. Such action widens their arbitrage margin.

[giant steps] 08/3/2006 09:57

Market will want MKD stock, share price decline today is a bluff (and we know it !)

[ad1967mc] 08/3/2006 09:48

It also explains how it is possible for OXS to pick up stock in the open market.

[giant steps] 08/3/2006 09:44

ad1967mc - seems sensible

[ad1967mc] 08/3/2006 09:43

Presumably, if the 3:1 deal is still open, then there is a viable arbitrage play here. For example, the MMs could go short OXS and long MKD, looking to pocket the difference by converting MKD to OXS?

[nobull] 08/3/2006 09:35

Thanks Phillis for your wisdom on Take-Over Code not applying here, and on pssoible treatment of minoritoes. If anyone wants a textbook example, there is the one of Camellia buying out the (20% or slightly less?) minority of Linton Park. Invesotrs Chronicle reported a lot of grumbles about the stingey price paid to LPK holders. The majority shareholder has a great deal of power? They can even de-list the shares? I take comfort from J. K.'s reported words "to pay even up to a 1 for 1 OXS/MKD exchange" (68p would mean no MKD shareholder would have made a loss as a result of purchasing them at anytime in the market so far?)

[giant steps] 08/3/2006 09:32

Cezary - so many possibilities !

When Jerooy secured OXS will surge and 3 for 1 deal makes MKD the 'Oxus warrant'

Of course, when Khandiza 'green light' then both will surge !!


Screen prices bid 19p offer 20.25p, volume @ 09:30 95K / 6 trades
Cooling of price before next upward movement (imo)

[greg the grinch] 08/3/2006 08:52

I am sure one day khandiza will be the biggest money spinner.
I wonder if an offer will be made sooner rather than later?
The longer oxus wait the more they risk the share price surgeing on the khandiza go ahead.
If jeerooy gets sorted out and oxus goes to 90p then we have a nice profit.
I cant see BT doing another EUG.

[giant steps] 08/3/2006 08:34

Have to laugh when you look back, didn't Bill Trew once say

'Marakand was the jewel in the crown at Oxus' !

[cezary] 08/3/2006 08:09

I am awaiting my offer of 3 for 1.

[giant steps] 08/3/2006 07:32

Confirmation of 3 for 1 news in OXUS interims

Extract from RNS 8th March 2006
"
Since the year end, the Company has acquired a further 24,592,562 shares in
Marakand Minerals, increasing its stake from 57.23% to 81.58%. The acquisition,
on a three for one basis, will be settled by the issue of 8,197,521 shares in
the Company within five days from the date of this announcement.
"

[greg the grinch] 07/3/2006 22:09

If my memory serves me well solina said as they are guernsey based they would not be looking for a takeover.
Maybe under law they cannot force a sale.
I am no specialist on those matters.
You would have to assume that 100% has crossed their minds but I cant see them getting them without stumping up a good offer.
That for the moment is too far ahead.
Right now I am wondering where the price is heading.
Of course no one knows but with the institutions on an oxus/3 deal and everbody told mkd is too cheap sellers must be scarce and the share price should rise.
risk/reward looking good with oxus/3 floor.

good luck all

[otd] 07/3/2006 21:59

thank Greg, great work/post

[nobull] 07/3/2006 20:44

Thanks G the G for sharing that. Everything is far rosier than I thought (as long as we are not bought out too soon). Capturing all that upside at such a low price for OXS is a Trew masterstroke!

[phillis] 07/3/2006 19:20

My thanks Grinch.
When are OXS going to buy out the minority?

[mattybuoy] 07/3/2006 19:07

Thanks for the info greg. I would presume that the OXS shares are newly issued? Not that it matters.

Call me perverse but I actually think we are very lucky to be investing in this company (OXS/MKD) when market sentiment towards FSU mining is at such a low ebb. Marakand alone could conceivably be a billion dollar company in a few years time.

In a sad moment I tried to get a grip on how large 5,000 sq kms is. It's about the size of Suffolk, 45 miles by 45 miles approx. Have a look on a map ... ;)

[giant steps] 07/3/2006 19:00

Greg - thanks for that, enlightening

[eriktherock] 07/3/2006 18:39

Great post, thanks.

[greg the grinch] 07/3/2006 18:35

At oxus I spoke to joanna solino first and as my questions were getting a little more detailed I spoke to oxus finance director jonathan kipps.

he also added that the 3-1 may in time turn to 2 to 1 or even 1 to 1.

I then spoke to Alasdair Stewart.

He welcomes oxus and the extra financial clout they bring.
He described mkd as "horribly undervalued" and oxus know that.
AS also said he has "no negative vibes" re the final hurdle and reminded me this not an issue of title but a delay due to uzbek red tape.

I think due to the lack of clarity and the jeerooy and also EUG fiasco some were getting a little twitchy.

It is in fact a storm in a teacup.

!!!!!!!! MKD are still waiting with "no negative vibes" !!!!!!!!!!!!!!!!!

OXS are buying because mkd is too cheap.

good luck all
(inc phillis :o) )

[drewz] 07/3/2006 16:54

Happy to hold MKD until the ink is in place.

Then I will buy more.

[tee man] 07/3/2006 16:51

Thanks for that g the g, all sounds very interesting. Just have to wait and see as ever.