ZFX - Zinifex Limited

[legs]

Hmmm interesting. Sounds like the 'rumour' hasn't its origins at Zinifex, they are happy to comment. Maybe not from Xtrata... but Oxiana have a no comment.

I reckon it's on!

It's exactly how the BHP-RIO happened...rumours appear and ZFX take off, then it will be confirmed within a day or two and you hope your on the boat, at least before confirmation. It's too big a move to be all rumour I believe.

 

[bvbfan]

Suppose OXR does offer $20 (4 OXR +$4)

Doesn't seem much of a premium since the $4 would likely be coming from ZFX cash raised from Nystar sale. $2billion by my rough calcs.

Great if OXR can pull it off

 

[overule]

Have a feeling there will be a takeover or the SP won't surge that high.

For those who hold on.. good luck.

 

[adobee]

They seem to be the biggest volumes I have seen in a while!
I have been holding a few but will top up today ..

 

[michael_selway]

Zinifex: Haven't Received Any Offer From Any Company
216 words
15 November 2007
11:35
Dow Jones International News
English
(c) 2007 Dow Jones & Company, Inc.

SYDNEY (Dow Jones)--Australian zinc miner Zinifex Ltd. (ZFX.AU) said Thursday it hasn't received any takeover bids amid widespread market speculation that smaller rival Oxiana Ltd. (OXR.AU) is planning a bid that could value Zinifex at A$9.7 billion (US$8.7 billion).

"We haven't received any offer from any company," a Zinifex spokesman told Dow Jones Newswires.

At least six traders said there was speculation that Oxiana plans to offer four of its shares plus A$4 cash for each Zinifex share, which would value Zinifex around A$20 a share.

"I cannot say that we have any knowledge of that (rumor)," the Zinifex spokesman said.

An Oxiana spokeswoman said she was aware of the market speculation, but had no comment.

Oxiana boss Owen Hegarty said in a response to a question in July that he may be interested in acquiring Zinifex and saw synergies between the two groups.

$20.00 per share sounds reasonable

Earnings and Dividends Forecast (cents per share)
2007 2008 2009 2010
EPS 274.1 217.5 160.8 111.9
DPS 140.0 130.0 90.4 57.5

thx

MS

 

[ozrob]

At least six traders said there was speculation that Oxiana plans to offer four of its shares plus A$4 cash for each Zinifex share, which would value Zinifex around A$20 a share.

That sounds like it could be more than just a rumour, glad I topped up my holding last week at $14.60.

 

[mneal]

That sounds like it could be more than just a rumour, glad I topped up my holding last week at $14.60.

"We firmly believe that Zinifex is a logical incremental step towards achieving Oxiana's growth vision,'' Credit Suisse analysts led by Michael Slifirski said in the report. "The acquisition risk involved in acquiring a familiar business is significantly lower when expanding within the existing commodity portfolio.''

http://www.bloomberg.com/apps/news?pid=20601081&sid=a0uP9Wqvoy30&refer=australia

Looks like Credit Suisse, who became a substantial shareholder of Zinifex recently also had something to say about this.

 

[YELNATS]

I just rang my broker and they said there is a very strong rumour that exstrata are taking a look at ZFX

As a longterm holder of both OXR and ZFX, I would prefer that it was Xstrata behind the offer, rather than OXR. I'm not sure that OXR would have the management expertise to integrate such a large international business that ZFX now is.

Also, I would think that an offer for ZFX would have to be $25 + to be acceptable to ZFX shareholders bearing in mind they already nearly hit $22 last July and also the long term value of the business. I for one would not be happy with only a $20 offer.

 

[Stan 101]

certainly a jump... I've been lucky of late. I just jumped into ZFX yesterday and have topped up again today. This share is certainly a roller coaster.

Befeits of a potential Oxiama bid? Do you think there will be more than one offer for the golden girl of zinc mining?


Cheers,

 

[mneal]

News of a CEO appointment - Mr Michelmore as expected though. I wonder if this news will affect the price tomorrow?

 

[prawn_86]

Mr Michelmore

Isn't he the one who also make 'documentaries'?

If so i bet that he could put a good spin on ZFX.....

 

[Col Lector]

Quite the comic Mr Prawn....! BTW ZFX price sensitive ann is pending....released after mkt close. Could be interesting.....

Edit:Looks like a response to speeding ticket...

 

[dastrix]

Very strange! Glad I got in a few days ago at 14.28, nice little ride. The future is interesting

Oh and Hello everyone!

 

[roland]

Even if nothing comes of it, the VWAP of $15.87 with the large volume should provide a little more support at this level. I was happy to make use of the great SP rise today with selling some of my lower parcels. So I am now happy for it to move either way

 

[legs]

Even if nothing comes of it, the VWAP of $15.87 with the large volume should provide a little more support at this level. I was happy to make use of the great SP rise today with selling some of my lower parcels. So I am now happy for it to move either way

They know nothing about the increase in price.

http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00783559

 

[overule]

Historically with ZFX,

Such a high volume means the SP will head up higher. See it yourself incase i am wrong.

 

[Nicks]

Zinifex is denying and knowledge of an offer, but just the same Oxiana isnt!

I still reckon it's on. ZFX is good buying at this price. Personally, i'd be happy with $20+.

 

[legs]

Zinifex is denying and knowledge of an offer, but just the same Oxiana isnt!

I still reckon it's on. ZFX is good buying at this price. Personally, i'd be happy with $20+.

http://www.bloomberg.com/apps/news?pid=20601081&sid=a0uP9Wqvoy30&refer=australia :-

"Oxiana doesn't comment on market rumors, Natalie Worley, a spokeswoman for Melbourne-based Oxiana said today. "

It is Oxiana's policy, and always has been, to not comment on market rumours. This means nothing. It could be on, would be great, or not.

 

[uhu]

Can is this true?
Wel, it's a bit funny. I have been waiting for a long time....but when I bought ZFX and OXR in the summer, I hoped ZFX will be the buyer.
So, there are some articles in the main newspapers, but maybe you can "smell" better in Australia than me in Hungary.

So, without exact facts, what are your noise saying?

 

[Nyden]

Well, to be honest - I did expect a rise in price once the CEO position was made official. But - no where near 11%. 11% is just far too high a rise for a company of this size to just be on a random hunch of something.

Something might very well be in the works here - could be insiders getting on board :

It isn't a sure thing though - no one's announced intentions... ZFX denied having knowledge of anything. Certainly looks like it though. If there is something in the works, we could expect an ann of intentions from a company in the coming days.

I personally hope it's OXR - simply because I hold them, and like their fundamentals. I don't want to get stuck with some company I have no knowledge of, would be nice to consolidate 2 of my holdings into 1 as well : Cheaper when it comes to time of sale!