Our Q&As are emailed in our Saturday Morning Report, find the answer to this question below.
What is your take on the current acquisition and/or merger offers surrounding Predictive Discovery (PDI)? My holding is up 182% as of the 11/12. What would you be doing if you were a shareholder, wait and see or take the gain now?
Hi David,
Predictive Discovery (PDI) recently received a binding takeover bid from Perseus Mining Ltd (PRU) who already own 17.78% of PDI. This triggered a competitive situation because PDI was already in an agreement with Robex Resources (RBX CN), a Canadian gold producer.
Perseus wants PDI to strengthen its West African gold growth pipeline, where both companies already operate. Conversely, Robex’s pitch to PDI shareholders is two-fold. It believes the combined company could, over time, be taken over by the likes of AngloGold, Barrick or China’s Zijin. And that the cashflow from the merged entity could fund the development of PDI’s flagship asset, the Bankan project in West Africa’s Guinea, without needing to raise capital.
There appears more to play out here, but neither are clear cash bids, in both cases the PDI share price is exposed to the vagaries of the gold price and related shares.
Take a free trial.
No payment details required.
Forgot password? Request a One Time Password or reset your password
One Time Password
Check your email for an email from [email protected]
Subject: Your OTP for Account Access
This email will have a code you can use as your One Time Password for instant access
A link to create a new password will be sent to the email address you have registered to your account.
Hi, this is only available to members. Join today and access the latest views on the latest developments from a professional money manager.
Our Smart Phone App will give you access to much of our content and notifications. Download for free today.
