RE: Go to IAE Website My understanding is that for each Valiant share you will receive 1.33 Ithaca shares. I don't think it really matters what the Ithaca SP is at closing???? You will receive 1.33 Ithaca shares. Ithaca could be $1.75 or $2.25 ........................... you might lose a little or gain a little on these issued Ithaca shares.
I know they mention the $1.97 SP when the deal was struck but that is not in stone.
That's the way I see it
If Ithaca was $2.25 on closing then are you saying that Ithaca would give them LESS hard cash because the SP is up...............I don't think so
Likewise if Ithaca is only $1.80 on closing they are not going to give them MORE cash to make up the difference
=====================================
Not sure I agree with your assesment honestly - If you offer to buy my shares for $3.00 dollars and pay with $1.50 in cash and 1 share of your company worth $1.50 and I say yes. If on the day of closing your company shares are trading at $1.00, trust me that you won't get my shares for $2.50 !
I'm pretty sure you'd say the same.
Excerpt:
* Based on the Closing Price of an Ithaca Share of C$1.97 (126pence) on 28 February 2013, the Acquisition values the entire issuedand to be issued share capital of Valiant at approximately GBP203million (equivalent to approximately US$309 million and C$318 million)and each Valiant Share at approximately 475 pence.