OTCPK:RKNLF - Post by User
Comment by
kevinNashon Feb 26, 2017 2:37pm
144 Views
Post# 25895620
RE:RE:RE:RE:RE:RE:RE:An entry from here
RE:RE:RE:RE:RE:RE:RE:An entry from hereMatWei wrote:
If you read the Management Circular in December, Constellation had already notified RKN that it was intending to drop out of the process in early December, and basically had to be begged by the Board to come back with any kind of offer. The Board needed someone, *anyone* to put forward an offer as January was the drop dead date for the lenders to pull the plug.
So the Constellation offer, crappy as it was, was only half-hearted at best. You could see that by the fact that they put up no fight (basically by the next day said OK - it's yours). ESW had no need to push anyone out.
And for everyone wondering where Invesco is in all this - just keep in mind that despite holding at least 2x more shares than Crescendo Partners (Invesco holds 19% while Crescendo must hold less than 10% as they have not filed at the legally required threshold of 10%), it was Crescendo that sent the letter to Redknee and not Invesco. They appear pretty passive.
This doesn't answer why Investco has been so passive. With 19 million shares, so far, on the surface, they have the most to loose. It just screams that some kind of deal was cut between the major shareholders that we aren't privy to. RKN had to beg Constellation to come to the table? ESW could have made an offer at anytime without them but they didn't. And Investco just sat back and did nothing? They never had meetings with Crescendo behind the scenes? I find that incredibly hard to believe. And they all just sat back over 2016 waiting for everything to reach crisis level? (Honestly, how did that clown Lucas let this get so out of hand?)
Going forward, the most recent announcement throws around a bunch of numbers but it's incredibly short on details, I'm not sure why they even made the announcment quite frankly. They would have been much better off shutting up and moved forward cutting costs etc to build some kind of good will, ie to show that they were committed to turning this around but they made that announcement and we all saw how the market responded. Catastrophic drop in share price. They ddin't realize this kind of announcement was going to have a response like this? Really?