RE:RE:RE:RE:Just inPrivate equity would not want to pay the price that CXR wants. They were circling hoping for a deal given the drop in share price. They can't even layer on cheap debt as CXR is already leveraged to the max with non-cheap debt.
I find Roller's weekly calls for a deal announcement amusing. Unless someone is willing to pay north of $60USD I doubt the board would endorse it. Appollo could go hostile but I don't believe the votes are there for a board endorsed deal below $60USD, so going hostile on the cheap is also likely a futile effort so why bother?
Yes there is uncertainty right now re Brexit, but that's no reason to sell the Company for pennies on the dollar. The FX isn't issue isn't the me of the world for anyone who takes the time to understand it. They just need a few more quarters of earnings and to get all these earn-out payments paid out so they can really start attacking th debt. This is a show me story. Patience will be needed. I'm not here for a buyout as I don't believe a buyout is going to happen, and this Company is not distressed so they are better off staying the course then selling it off for pennies on the dollar. All in my opinion only.
Craigbad wrote: Well, looks like Apollo blew their cash on Diamond so the rumors of Cxr divesting assets to Msl kind of makes sense. Hopefully we get another pop to sell into, but with end of the month fund selling it looks unlikely. msl may get a smokin deal with the currency if its true.
sunshine7 wrote: We all know that the multiples being paid for assets is lower than one year ago. Also, the multiple depends on the quality of the assets... i.e. cash flow contribution. CXR under PE can take advantage of the discount given to pharma assets at this time if they were within PE.
Craigbad wrote: They must be selling at half price. Merus only pays 5-6 x ebitda for assets and Cxr paid double that. Not a good sign.
peter75 wrote: Cxr is selling a piece of pharma to merus labs in england
sems the buyers don't want all of England