Michael Bailey Makes Hostile Takeover Bid to PurchI see this as a smart move on his part
Michael Bailey Makes Hostile Takeover Bid to Purchase Diamond Producer
2/1/2010 12:03:17 PM - Market Wire
OTTAWA, ONTARIO, Feb 01, 2010 (MARKETWIRE via COMTEX News Network) --
Michael Bailey and entities controlled by him announced today the commencement of a tender offer for all outstanding shares of common stock of Vaaldiam Resources Ltd. (TSE: VAA) for
.07 per share, net to the seller in cash.
Under the terms of the tender offer, entities controlled by Michael Bailey will commence a hostile all cash bid to purchase all the outstanding shares of Vaaldiam for
.07 USD per share for an aggregate purchase price of $19.265 million USD. This represents a 133% premium to the previous day closing price of Vaaldiam's stock.
The tender offer is scheduled to expire at 12:00 midnight, Eastern Standard Time, on March 1, 2010, unless the tender offer is extended. The tender offer is conditioned on the tender of a majority of Vaaldiam's shares calculated on a fully-diluted basis, as well as the receipt of certain regulatory approvals and other customary closing conditions.
Entities controlled by Michael Bailey currently own a minority stake in the company and they are now making a hostile bid to acquire 100% of the outstanding company stock with the intention of taking the company private. Michael Bailey is an algorithmic trader and formerly a member of the Band of Scoundrels, an elite group of high frequency proprietary traders that successfully shorted Citigroup and profited over $130M in October 2008.
The acquisition is expected to close during the first quarter of calendar year 2010; however, the close date is subject to customary closing conditions, including regulatory review in Canada.
Contacts: Dunn Group International Investor Relations Division Jamie Beals President 1-613-482-9396 info@dunngroupinternational.com
SOURCE: Dunn Group International