Post by
4CommonSense on May 12, 2023 9:50pm
what price price
Factoring in FX , Teck A+B conversion rate offer and the current GLCNF common share price - the Teck B share price is C$62
The only way GLCNF can up the bid is by offering cash which they have already done by - US $8.2 billion - but it too was refused by the Teck BofD.
The board said it’s not planning to sell Teck at the current time. Glencore offered to merge with Teck and create two businesses. Its offer of 7.78 Glencore shares per Teck B shares was a premium of 22% based on Glencore and Teck B’s last close on March 31.
While Glencore modified the bid to include a cash portion Teck's board responded by describing it (the offer) as "largely unchanged."
A bit ambiguous - are they or aren’t they willing to sell the company, or are they just haggling about price?
Glencore may wait to see if Teck comes up with a new separation approach re: metals and coal which will probably take months given the poor attempt. .
Glencore indicated they may go directly to the SH’s – and have met with some of them . If successful in acquiring the B’s and possibly some A’s at a higher price – it would make for an interesting and confusing situation.