GMG: Details for JV investment in Ivory Coast co ITCA announced on 15 Dec. Acquired assets are independently valued at US$6.8m. Co is paying US$2.8m for 60% of the assets which is a 31.4% disc. GMG will also provide expertise in mgmt, procurement and mkting. GMG is currently trading at 8.4x and is at a YTD low partly due to dilution from a rights issue just completed this month.
Positive divergences spotted which may indicate a short bounce, MACD also moving into positive territory and ADX is starting to peak. Despite a possible bounce, LT technicals are still negative with lower lows made even after the rights issue.
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