GREY:CXSNF - Post by User
Comment by
goldpolkaon Jun 25, 2019 1:33pm
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Post# 29861189
RE:Buy out
RE:Buy out
He does make valid points. I am also wondering why another bank wouldn't simply buy this for much more than $0.68 per share, simply based on the value of a $28B mortgage renewal stream.
Just think of how much they could make to simply buy the company and shut it down, and milk the income from the renewal stream. I mean how many fees would banks pay to acquire $28B in mortgages ?
It seems to me that this is a self-serving transaction which is supported by management because it is a way to preserve their jobs (and the jobs of its employees ... which obviously is a noble cause and avoids severance), rather than a transaction which maximizes value for its shareholders.
I am surprised that some of the larger holders do not step up with a more competitive offer, or perhaps this offer will be dead in the water.
Of course, I have no idea what process the company went through, just providing my two cents from my perspective.
GLTA