GREY:VAALF - Post by User
Comment by
rborhion Feb 01, 2010 2:34pm
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Post# 16740525
RE: what now?
RE: what now?Will have to see when it opens again. I'm guessing it will trade to 6.5 or 7 cents, consider the offer is 7 cents US which is almost 8 cents US.
This is a cash offer, double the value of the Tiomin deal, which was to be paid in shares. I'm sure they're not a happy group. I didn't like we were only getting 0.8 of a Tiomin share for one VAA share, didn't seem quite fair to me. Tiomin was getting all VAA's assets for about a $10 million value. Bailey has now valued it at $20 million US and in cash, which is saying something.
My guess is Bailey would take VAA private and try to sell it off, or hire people to run it.
With all the investment options in the world open to a guy like Bailey, it's amazing to think he would put $20 million into a company like this.
I wonder if he was involved in the $5 million deal for Brauna a year ago?? He is definitely seeing something of value here that others are missing or not accounting for.