I’m aware that a lot of PI’s are nursing heavy paper losses at moment, however, seems a bit pointless selling at first sign of serious interest from a white night.
I appreciate that some may be financially vulnerable or have lost all appetite for risk, but for those who have approached sxx as the speculative investment it always has been, then there may still be some excitement ahead.
With BHP also having interest in this sector and potentially investing $4.7bln in their Canadian mine (still at feasibility stage) its seems inconceivable to me that they would sit back and allow AA to obtain competing assets at a significant discount. Allowing a significant capital cost advantage to a competitor would be risky if not down right negligent.
If I were on the BOD of BHP I would be doing all I could to mitigate the situation. To even feign an interest in sxx would likely increase to cost for AA. You never know, they may have genuine interest in sxx. Still worth holding to see in my book.
I am in the lucky position of only buying in on 6th November last year and in rather modest numbers so don’t have the financial losses weighing on my decision.