RE:RE:RE:RE:net 1.75$/shareGcreamy wrote: I get that your just trying to understand exactly what is going on so don’t worry about that. There will be no lawsuit if the deal goes through; the shareholders will get paid $2.20 per share.
The $1.75 net could just be referring to Geo-Jade's total cost per share net of debt but they are paying $575 mill ($2.20/share) for the entire business, debt included.
Why is it trading at $1.73???
1) People are taking guaranteed profit. Even if they believe the deal is going through, they want to lock in profits now and not have to deal with the slim chance of the deal falling through
2) People are confused as they don’t understand exactly what is going on. When there is confusion (like the whole $1.75 net price), people will sell their positions or wait on the sidelines until they get answers.
To all noobs or fools, whatever you want to call it ... $2.20/sh. is only for buying all shares of BNK. Debt is excluded !! Even the freakin news release over the weekend & confirmation by Investor Relations (posted by few people) affirms that. Read the NR carefully. The $2.20/sh is in Candian dollars.
will be interesting to see how BNK trades over this week. The management strongly backs this offer made by Geo-Jade. I'm counting on giant oil and gas firm Shell to make a higher offer (of around $2.50/sh or more).