So there you have it...Wyloo thinks the ring is world class but only worth .315.  Something doesn't add up.  Bring on the independant evaluation!

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https://www.theglobeandmail.com/business/article-australias-wyloo-metals-looks-to-spend-25-million-to-study-viability/

Australian private equity firm Wyloo Metals Pty Ltd. says it intends to spend $25 million to study the viability of building a battery metals processing plant in Ontario, if it succeeds in its attempt to buy Ring of Fire operator Noront Resources Ltd.

Last week, Wyloo Metals, a subsidiary of Perth-based investment holding company Tattarang, said it was prepared to buy Toronto based Noront for $133-million in cash, or roughly a 31 per cent premium to its market value.

Toronto-based Noront has not responded directly to Wyloo Metal’s proposal yet, but it has moved to put a “poison pill” in place, that would temporarily prevent Wyloo from taking the company over. Noront chief executive officer Alan Coutts wrote in an email to The Globe and Mail on Monday that the company will wait until Wyloo tables a formal offer before it formally responds. “Should an offer be made, we will review it and respond in due course,” he said.

Wyloo Metals already owns 23 per cent of Noront’s shares, after buying the stake formerly owned by United States private equity firm Resource Capital Funds in December. Since Wyloo is an insider of Noront, shareholders of the Ring of Fire company are entitled to an independent valuation of the company, so they are better placed to judge the fairness of the approach from the Australian investor.

Shares in Noront have traded close to $0.315 a share proposal, indicating that investors expect Wyloo Metals’s approach will be successful.

Luca Giacovazzi, head of Wyloo Metals, said in an interview on Monday that its proposal for Noront is “compelling” and indicated that the private equity company is unlikely to pay a higher price.

Wyloo Metals’s main focus is developing Noront’s nickel project called Eagle’s Nest with the view to produce premium concentrate that could be processed in Canada for the electric car industry. Current nickel processing capacity in Canada is geared towards the smelting of nickel for use in the stainless steel industry that is ultimately exported to China.

Wyloo Metals hopes that an investment towards feasibility studies for an Ontario-based battery metals supply chain may lead to the construction of an Ontario smelter for the electric car industry. The long-term capital commitment to such a project would likely run in the hundreds of millions of dollars, and require buy-in from legions of stakeholders, such as local communities and First Nations, and necessite years of environmental study.

The Australian company also said it is targeting to invest up to $100-million to First Nations communities in the Ring of Fire region in the event that it is successful in taking over Noront.

Wyloo Metals is owned by Andrew Forrest, one of the richest individuals in Australia, and a mining industry veteran.