# QMG - Quay Magnesium



## Joe Blow (23 June 2010)

Quay Magnesium Limited (QMG) is involved in magnesium refining and alloying. QMG operates magnesium alloying production plant in Nanjing, China. The company is ISO/TS 16949 accredited.

http://www.quaymagnesium.com


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## exberliner1 (22 November 2010)

QMG traded 46mn shares today about 15% of the register and closed up 20% at 1.2c

They have an AGM on Friday at which shareholders will be asked to vote on a chinese guy called Mr Fan buying 125mn shares at 1.6c (above the market close of 1.2c today).

That will leave QMG with a mkt cap of $5.1mn of which $2mn will be cash.

Their Mg plant in China is profitable but the company is currently being held back by servicing its $3.6mn debt pile.

Depending on how you value it the Mg plant is worth anywhere between $20mn and $50mn.

There was an independent analyst report issued by QMG on 22nd October can someone please give it a quick look.

I read it over the weekend and believe that QMG is just about to be promoted from "dog" status to normal company status once the new share issue to Mr Fan goes through.

The new chinese investor will get seats on the board.

Why would he pay above market for his stake?

Does he have contacts in China to help increase QMG's profitability (just a guess .... I don't know).

I bought some QMG early this morning at 1c - surely 1.6c should now be an absolute minimum for the stock.

Have I missed anything or is this the bargain of the week?

Anyone got any comments.



EB


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