OTCPK:NWKRF - Post by User
Comment by
MartialArtson Jan 19, 2018 5:27pm
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Post# 27397987
RE:what now??
RE:what now??
HIP-CMED is not a buyout, it's a merger. For every 1000 shares of HIP, you get 33 shares of CMED. Management chose to keep the "CMED" symbol and Cannimed name because it's more established and trades on the TSE vs ventures.
That ratio was agreed to buy management and board from both HIP and CMED although many over at CMED feel it's overvalued. That's why some of the large CMED shareholders locked up with ACB.
The HIP-CMED merger is pending a CMED shareholder vote. HIP shareholders have already voted Yes by a large majority. Over 90% yes. The CMED vote is pending and I would not be surprised that CMED take a $60-90 buyout offer from ACB and pays HIP 41 cents per CMED share penalty ($10M) to break up the agreement.
Much, much safe to buy shares in CMED. If the vote is yes, you get HIP at a discount. If the vote is no, CMED still has mortage backed production agreements with Newstrike in place.
CMED is in a no-lose situation. It's the bride everyone wants to marry. She might stay single, take one groom or have a threesome.