The 66 Million shares at .60 not so much a spoilerSince CXB put $40 million into the treasury the spoiler effect is only the difference in price to any other offer, plus the break fee.
If another offer came in for cash at say a buck... then CXB would have to either cough up a better deal, or walk with their cash for shares.. $.40/share profit plus break fee.
Question is will some other entity pay $450 million cash for MOZ or take the dilution in their own stock.... Still an open opportunity in my view. All wts are under water unless CXB has some special consideration in their deal.
In connection with the private placement, Calibre and Marathon also entered into an investor rights agreement which contains certain investor rights granted by Marathon to Calibre, including, so long as Calibre holds 10 per cent or more of the outstanding Marathon shares: (a) registration rights and piggyback registration rights in favour of Calibre and the right for Calibre to nominate one director to the board of directors of Marathon, which rights are effective on the earlier to occur of: (i) the arrangement agreement being terminated in accordance with its terms; and (ii) 120 days following the closing of the private placement; and (b) equity and convertible debt participation rights to allow Calibre to maintain its pro rata interest.
Effective as of the closing of the private placement, Calibre owns 14.2 per cent of the issued and outstanding Marathon shares. Immediately prior to the closing of the private placement, Calibre did not own any Marathon shares. Calibre's acquisition of the Marathon shares in the private placement is for investment purposes only. Calibre has filed an early warning report in respect of its increase in ownership of the common shares of Marathon, which report is available under Calibre's profile on SEDAR+. For further information or to obtain a copy of the report, please contact Calibre.