RE:What's next in the Playbookjustanormalguy wrote: Ok, with the short Dec 31 date, looks like the deal is penned, not signed, pending settlement of working capital claims. They stated the amount loaned for a reason!
Now what?
If deal is made, they'll have to make announcement and begin to get approvals.The board would have ideally unanimously approved. Approval, yes, that means you shareholders of record, whatever that may be. Probably late January. Vote late February.
Maybe even the various levels of government have promised some tax credits/incentives to get this to production and get a few hundred employees paying taxes again in this region. And the beer starts flowing again.
The structure of the deal is in the public then and the exclusivity is off the table! I'm hoping the big guys step in with a much cleaner balance now, and make a friendly offer with better terms. Maybe 2 or 3 big guys. I still think Vale is the right fit, and MBAC slides nicely into their Brazil vertical.
Things could get ugly, then maybe a hostile or two. Who knows but this could get interesting before long. Deep pockets normally win with shareholders. But 20 cents still does not cut it for me as I said before.
And maybe, just maybe a little payback for tax-loss sellers who pulled the trigger :)
IMO, Normal Guy
That is a dream scenario - Im pretty sure if there is a bid it won't be Vale. They have other problems to worry about.
Agrium and Mosaic have the following: a) the cash and balance sheet stregenth b) publicly stated that Brazil is a strategic interest c) have stated that they are looking at assets d) have the size and operational excellence to make this a success.
Psalm was the first to propose this scenario. Nobody is showing thier hand until a) all legal issues are resovled and b) they see the offer themselves.
If Alpha gets outbid they get a healthy 15% for thier troubles.