LINC and Sapex to merge?????

[bear]

Well my two biggest holdings could be merged by Thursday to create a truely awesome company. Both are in a trading halt and Sapex is talking merger!!!

The technology, people expertise and nouse of Linc with the sheer scale of Sapex's tenements and potential coal, gas, and oil resource.

I'm a little concerned that neither have reached their full value potential - particularly Sapex ... but should hopefully be fair price and the synergies of the merged entity will be significant.

Look forward to an exciting Thursday

Bear

happy holder of both (at the moment)

[tommy]

yo bear,

This is truly a WIN-WIN situation... may trigger more mergers in the UCG space if it really happens and lead to even more speculation!!! such as MEE + IPL hehehe

[underground]

F*&K i wish i didnt sell outa SXP at 51c :mad:

[bear]

F*&K i wish i didnt sell outa SXP at 51c :mad:

As it turns out Underground you got a good price

Must say i have mixed feeling as i had hoped it would be a win-win scenario but the Sapex management rolled over and now i have a winner and a kind of loser. My price target for the next six months was much further north of what was offered for sapex and i know that snaller holders will be annoyed.

Still there may be a counter offer - always hopeful

bear

[tommy]

WTF, Sapex sold out way too cheap... 72cents per share? LNC got a bloody good deal.

[David Hardman]

WTF, Sapex sold out way too cheap... 72cents per share? LNC got a bloody good deal.

Linc may as well sit on the bid and pick up the stock that is being offered sub 72c

Are they allowed to do this under the takeover rules?

[shasta]

Linc may as well sit on the bid and pick up the stock that is being offered sub 72c

Are they allowed to do this under the takeover rules?

No, they would have to make a stand in the market (requires ASX permission), this is usually done for partial takeovers.

The takeover code requires the same price be offered to all shareholders...

[bermuda]

Well my two biggest holdings could be merged by Thursday to create a truely awesome company. Both are in a trading halt and Sapex is talking merger!!!

The technology, people expertise and nouse of Linc with the sheer scale of Sapex's tenements and potential coal, gas, and oil resource.

I'm a little concerned that neither have reached their full value potential - particularly Sapex ... but should hopefully be fair price and the synergies of the merged entity will be significant.

Look forward to an exciting Thursday

Bear

happy holder of both (at the moment)

Well done bear. You picked two outstanding stocks. SXP is my 6th favourite aussie stock and I like the look of Linc.
These are times where you sit back and relax and pour a special drink. Enjoy.

[COLIN]

Significant drop in LNC today, with no news - at least no ann to ASX but Aussie members may be able to quote something from the press, or elsewhere?. SXP price doesn't seem to have been affected though.
DISC: Have sold my SXPO, at 48c.

[bear]

Significant drop in LNC today, with no news - at least no ann to ASX but Aussie members may be able to quote something from the press, or elsewhere?. SXP price doesn't seem to have been affected though.
DISC: Have sold my SXPO, at 48c.

all in this sector struggled today - just a generally weak market combined with profit taking (we've come a long way in a few months) and perhaps concern over the SXP takeover not succeeding

A good testing result should see this LNC settle comfortably over $4 with a successful merger adding another $1 more.

SXP price won't move too far from LNC offer unless the offer fails in which case the price will fall unless more results are received.

Still hold half of my SXPO but tempted to get some bargins

LNC for the bottom draw for now

If LNC goes further south would be very tempted around $3.25 which i consider fair value pre testing result.

Bear