RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Mar 9 - Notice of Change now on SedarMA: This is also what I was thinking at first, but I do not believe this is how the game will play out in the end. I believe somewhere in those > 100 page documents is some legal mumbo jumbo that will allow them to allocate the cash according to the individual separate takeover offers.
Especially since they specifically say that they are currently satisfying material conditions of the takeover and will be buying and taking up the CMED's shares "as soon as possible". The key point of course being what is meant by "as soon as possible". Although it sounds like it should be after this just completed takover offer with the March 9th deadline, it could also mean "as soon as possible" after the 2nd takeover offer with the March 25th deadline. In fact, if that happens I could even see it being stretch to "as soon as possible" after the final takeover deadline which could be anybody's guess (but most likely sometime in March).
Does anybody know what the various options are for this 2nd takeover offer and whether or not Aurora has change the Default option from the open-end one (i.e. not to tender your shares) in the first offer to a closed-end option (i.e. either all-shares or all-cash) for this second takeover offer. It would not surprise me at all if they are required to run with exactly the same options for the shareholders who did not tender their share (i.e. did not vote for the takeover merger) before they can finally closed off the whole process with a third and final offer which would incorporate a closed-end option. Does anybody know if the Canopy takeover of Mettrum took place in the same fashion or was that one a friendly merger from the get-go?
If Aurora is allowed to closed off their share and cash allocations for each separate takeover, it's quite conceiveable that the both the share and cash payment allocations would most likely be different for each of the takeover offers. This of course would be hugely influenced by the share price of Aurora as it approached each of the deadlines.
On the other hand, if Aurora is not allowed to closed off their share and cash allocations until the entire process has been completed, does this not mean that they cannnot legally "take up" the CMED shares from their shareholders? After all, they are apparently legally required to make full payment (i.e. Aurora shares and cash, I would assume) within 3 business days once the CMED shares have been taken up.
From my point of view then, this means that if Aurora does not take up the CMED shares until the whole process has been completed (whenever that is), the CMED shares should still be sitting in my investment account . Hence, they should then still be available for me to untendered if the share price situation should change in such a way as to make it advantageous for me to either sell my CMED shares immediately or to change my option selection for the takeover.
I guess only time will tell and it could indeed be fun and interesting times here. LOL
MartialArts wrote:
The point is, they cannot allocate the cash until the tendering date is reached and that was extended to March 25th. So they have allocated for the minimum amount of cash for all the shares tendered which is just $5.70 per share. They have maxing out the cash for the number of shares tendered.