SMM - Summit Resources

[dj_420]

Can somebody give me some insight to this question please?

I am thinking of buying some SMM stock with CFD's, as it is close to what I figure will be good support around $5.06...

My concern is whether they will remain on the ASX as a seperate entity to PDN.

With CFD's, I am not sure whether I would get PDN stock (CFD's) if SMM is delisted, and trades as PDN...

Anyone have any idea on how this may play out, or should I just leave SMM alone?

Thanks

if you do buy SMM shares im sure all the holders would appreciate if you accepted the PDN offer help PDN get to 80% and stop this dragging out

cheers

 

[Gundini]

if you do buy SMM shares im sure all the holders would appreciate if you accepted the PDN offer help PDN get to 80% and stop this dragging out

cheers

I would be happy to accept dj, but a CFD holder doesn't have a say in the matter as they only own a contract for the difference in the price movement.

I do know in a case of a company having a share split, CFD holders receive the 2 for 1 stock contract, but not sure what happens if SMM is delisted and trades as PDN.

 

[dj_420]

I would be happy to accept dj, but a CFD holder doesn't have a say in the matter as they only own a contract for the difference in the price movement.

I do know in a case of a company having a share split, CFD holders receive the 2 for 1 stock contract, but not sure what happens if SMM is delisted and trades as PDN.

hmm not sure what would happen. thats hard as the shares wuold obviously be held on your behalf by your broker. maybe your broker would know.

 

[Gundini]

hmm not sure what would happen. thats hard as the shares wuold obviously be held on your behalf by your broker. maybe your broker would know.

Yes a risky one for sure, and it seems nobody else knows the answer either.

Will update if I find out the deal.. Thanks for your reply

 

[ands]

Is anyone out there still holding onto their SMM shares? I noticed they just extended the offer period again. It will be interesting to see what Areva does with their blocking stake. What do you all think the outcome of the takeover will be?

 

[Gundini]

Is anyone out there still holding onto their SMM shares? I noticed they just extended the offer period again. It will be interesting to see what Areva does with their blocking stake. What do you all think the outcome of the takeover will be?

Just picked up a parcel at $5.00... Recon there should be a bit of support at this level, but she sure is one sick puppy! Will be watching like a hawk with a tight stop...

 

[Gundini]

I would be happy to accept dj, but a CFD holder doesn't have a say in the matter as they only own a contract for the difference in the price movement.

I do know in a case of a company having a share split, CFD holders receive the 2 for 1 stock contract, but not sure what happens if SMM is delisted and trades as PDN.

Just to update you all on this situation re holding CFD's in a takeover, or a de-listing occurance.

What ever happens to the underlying share price is what you end up with as a CFD holder. So basically, if SMM is fully taken over by PDN, and delisted, you receive whatever the deal is as a full share holder, PDN stock and cash, etc...

Anyway, that's good to know for future reference...

 

[Sean K]

Anyone got an update on the future of SMM?

I hope ASF members got out of it after breaking down through $5.00.

Looks like it has found a little support at $3.50, but it's still tenuous. 200 d ma may have given it a hand too.

 

[exgeo]

I have an update on SMM. It will reach the $3.00 mark and then rebound strongly.

But seriously, I reckon nothing much will happen to it from now on until someone makes a move on Paladin, or PDN decides to tidy up the last little bit of SMM. Summit is held 10.4% by Areva and 81% by PDN, leaving less than 10% free-float. I imagine Areva would want substantially more than the $6.00 or so that they paid for their SMM stake. I filled my boots around the $3.00 mark awaiting someone deciding to tidy things up anyway. Might be a long wait, but at perhaps 100% return, it's worth waiting even 2 years or more IMHO.

 

[Sean K]

Summit is held 10.4% by Areva and 81% by PDN, leaving less than 10% free-float.

I can't see why it would move at all with only 10% available to trade. I'm sure neither PDN or Areva are selling! Sorry state for Summit to be in really. I agree with your thoughts. PDN to make a sweet offer to Areva (doubtful IMO - Areva want the offtake don't they and what did they pay!) Or PDN t/o. Hmmm, both unlikely, but perhaps more likely a PDN takeover, although if it keeps jumping like today......

 

[exgeo]

I guess the only reason it might move is because of bottom-fishers such as myself, with lots of patience. As Warren Buffett once said: "the stock market is a mechanism for tranferring wealth from the impatient, to the patient".

 

[vishalt]

Paladin to lead Summit & other Uranium hopefuls?

PDN consolidated around 6 & 6.50 for a while and then stormed out of the gates, Uranium prices have fallen to $85US, but they're still high, Uranium demand is still going strong with US wanting to triple its Uranium mining activities and India wanting our Uranium.

I think Summit is about to do the same, I'm gonna tilt on some speculative play and go on SMM.

 

[GreatPig]

This one continuing to struggle. It's been consolidating along the 61.8% Fib level for a while now in what I have as a bullish triangle, although not a very pronounced one. It looked to break out in early November but has now fallen back below again.

I continue to hold this one, despite it looking like a false breakout with possibly more downside to come. The market depth often shows quite a wide spread around the $3 mark now, like neither buyers nor sellers want to budge. It doesn't take much to make it jump up to $3.10 or more or down to $2.95, but so far every time it's pushed up it's been driven back down. Hopefully the sellers will dry up and it will take off, but I'm keeping a very close eye on it.

GP

 

[System]

On October 24th, 2018, Summit Resources Limited (SMM) was removed from the ASX's Official List following compulsory acquisition of the Company's securities by Paladin Energy Limited (PDN).