In every industry, when something happens to one of the owners, it can put the company into play or someone wants to offer. There are wonderful assets in every industry, often times the founders expect to leave the company to their families, and the legacy continues. There are thousands of reasons why that might happen, but the possibility does open up.

In an article by Gleb Bryanski of Reuters, the company called ERG or Eurasian Resources Group once produced 1/5 of the world’s gallium, a rare earth material used in microchips and included on the US list of critical materials. (an idea might to examine the list and pick the best companies on the list and know that the US government has an interest in them). ERG stopped production of the gallium after China increased its output of the metal in 2012. In December of last year, China banned gallium exports to the US as part of the trade war.

In 2013, ERG was taken private in a $4.5 billion buyout by its 3 founders who owned 20% each as well ad the government of Kazakhstan owning 40%. In February, one of the ERG’s founder and Board Chairman, Alexander Mashkevich passed away leaving only one founder among its current shareholders.

James Cameron, once a Board Chair of Petropavlovsk has offered $5 billion for ERG. The Luxembourg based producer of copper, cobalt, aluminum and iron ore and has formed a task force to explore rare earth and rare metals in Kazakhstan. Recently Kazakhstan’s government geologist have found a deposit will 20 million metric tons. Mr. Cameron is working with Goldman Sachs and the letter he sent to the ERG Board said the financing will come from his own funds, other investors in the US and possibly Australia and the Middle East.

Linking to dividend paying stocks, while everyone hopes to find a company that can last a long time and be passed on your heirs, it is often harder than you think. Reviewing the Forbes or Fortune top companies from 20 years back to now, you will see changes. If you own the ones that are still at the top, that is good. Most people also own companies that have faded and are need of a shakeup. Sometimes the shakeup is new ownership and that is why you need to do your homework to ensure the reasons why you own the company are still valid and profitable to you.

There are more questions than answers, till the next time – to raising questions.