Soros bets a few quid on Gutnick

Soros bets a few quid on Gutnick

DIAMOND JOE GUTNICK has found a new chum in the form of billionaire investor George Soros. Over the past few weeks, Soros has been throwing a few beans the way of two Australian-based companies, Gutnick's Legend International and another digging hopeful, Sphere Investments.

Soros Fund Management has outlaid about $US8.4 million ($12.5 million) for more than 5 per cent of Gutnick's US-listed Legend, taking his stake to about 10 per cent. Legend, listed on the Over-the-Counter market in the US, is developing a phosphate deposit in the Georgina Basin in Queensland.

Perhaps Soros has heard of Gutnick's ability to go looking for diamonds and come back with gold. Last week Soros, who ranks 99th on the Forbes Rich List with nearly $US9 billion to his name, bought a 5 per cent stake in Sphere, which is planning to develop a $2.1 billion iron ore mine in Mauritania.

Soros, who bought the stake through another of his funds, Quantum Emea, is well known for his uncanny ability to make money when everyone else is having a tough time of it.
In 1992, he famously shorted the pound to earn $1 billion in a single day, leading to the currency losing 20 per cent of its value and prompting a downturn.

http://business.smh.com.au/business/soros-bets-a-few-quid-on-gutnick-20081109-5kvo.html

Soros invested in Legend International and Sphere Investments.