Iron ore juniors, we reckon, may be entering a new phase. They’ve been the darlings of the market this year, mainly thanks to increases in iron prices themselves. The next round of pricing won’t be for another year.
But foreign interests have never been more interested in these stocks. Take yesterday. Russian Metalloinvest bought a hefty 20% stake in iron minnow Strike Resources (ASX:SRK). At a 39% premium to the market price. Those Europeans are so passionate.
Why would a firm thousands of kilometres away…be willing so heave so much money at so small a company…for such a big premium? Diggers and Drillers Managing Editor Dan Denning explains:
