GREY:NMKEF - Post by User
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Takeactionnowon Jun 25, 2020 2:27pm
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Post# 31191594
RE:RE:RE:RE:RE:Fitzgibbon «complètement indifférent» à l’actionnariat NMX
RE:RE:RE:RE:RE:Fitzgibbon «complètement indifférent» à l’actionnariat NMXA further thought on that: From a negotiating standpoint, obviously there needs to be enough perceived value in the project for a bidder to go along with suggestions preserving existing shareholdings, but surely there is if IQ is considering another $200-300 million? For the sake of argument, if there is
no value at present, why would anyone kick in $200-300 million more and have the very same overbudget risk? If I were putting in my money, there is
no way that I would accept that my original investment disappears entirely (written down, yes, but the participation remaining). So if there is value today, then a smart bidder wants to keep everyone who will have an impact on the project realtively happy, meaning (with expectations beaten down so low) that their shareholdings remain (albeit diluted).
mick1888 wrote: In addition it would also mean IQ and Softbank would also lose 80 & 100m respectively. It would not make any sense whatsoever for IQ to invest 200 - 300m AND at the same time forfeit 80m. That would just make a mockery of what they were trying to achieve in the eyes of the public (and the press).
Takeactionnow wrote: A perfectly plausible scenario, for sure. The problem is that eliminating existing shareholders affects the Nemiscau Cree too. I know what I would do if that suggestion were made!
Ciseaux wrote: I wish the odds would be 50 or 60%!!
My guess is that Fitzgebbon knew that NMX was certainly worth 0$ when his hairdresser told him he had shares, but could not say anything because of confidential information. In the discussions with Pallinghurst, it must have come out that the deal could not go through and that this would end up where we are today.
IQ could invest another 200 or 300M, but that would be with the new investors (not increasing the bids so that current shareholders get something - he was very clear on this when he said we would be crazy to expect the government to increase the bid only so that shareholders get money).