OTCPK:TMBMF - Post by User
Post by
modulexon Jul 22, 2017 1:21pm
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Post# 26498107
RYAM UNLIKELY TO INCREASE TAKEOVER OFFER FOR TMB
RYAM UNLIKELY TO INCREASE TAKEOVER OFFER FOR TMBrayonier is standing firm with its original offer for tembec. if the transaction fails, why would tembec share price drop at an alarming level? it is unrealistic, since if it would, rayonier would pick up further tmb shares at a discount price. i would not buy back tembec shares as of now, because there is no other suitor than rayonier. rayonier would therefore be a fool in increasing its bid at this stage. the best outcome, in my view, is that tembec remains an independent company. it must be recognized that tembec's high debt is not helping in having an interesting offer. it would be better for rayonier to issue ryam shares rather than pay a poor $4 cash offer.