Nelson - QUA
Supposedly a small hedge fund took an interest in IMY.L when news came out earlier in the year that there was someone interested in them. The same hedge fund is buying IMY.L again recently. They may be trying to push the price up in order to get a better offer.
The price QUA has offered for IMY.L looks so good because IMY.L was not targeting production until 2011. QUA of course hopes to move that date up and IMY.L believes they can. That is what QUA says it's strength is.
This attention the company is getting because of this Moly purchase is good because it raises the profile of QUA. But that is not the reason to own this company, in my opinion.
The attractive facts for me are that this company has such a low share count, has a producing copper mine whose production was hedged all of last year while copper prices soared, and now those hedges have ended. This one was flying under the radar and now people are starting to rediscover it.
They should post earnings of 3.50 to 4.00 in 2007 (with cooper at 3 bucks) but are only trading at 10 dollars. I think there will be a significant rise in their share price from here.
Have fun!
JFF7
It's better to be out wishing you were in than in wishing you were out.
"Markets can remain irrational longer than you can remain solvent". - John Maynard Keynes
