RE:Is there a future for Aimia as a public company?Yes, there are other realistic and better outcomes.
If Aimia receives an offer from Air Canada and partners for $6/share or more, for the whole company, that is fine.
Another alternative is for Air Canada to pay a significant premium for only the Aeroplan component. Remember, Air Canada values its new loyalty program at over $2 billion (NPV) so this becomes a realistic price taget for Aimia in the negotiations. Acquiring Aeroplan from Aimia would represent considerably less risk to Air Canada than trying to launch its own loyalty program in a crowded industry.
Otherwise, Aimia can continue with the revamping of the program and continue with Aeroplan 2.0.
Aeroplan 2.0 It would be a multi-carrier loyalty program with global market potential.
There are other business strategies that Aimia/Aeroplan can puruse that would disrupt the loyalty program industry.
Air Canada has already begun to feel the shock waves of Aeroplan 2.0
And remember, Aeroplan 2.0 has a 5 million member head-start (lead) over any new loyalty program that Air Canada may launch.
Air Canada's new loyalty program will be a foolish and costly endeavour.
As the Globe & Mail article pointed out, the loyalty program industry is flooded with competitors.
Consolidation is needed...not new weak competitors like the new Air Canada loyalty program.
pierrelebel wrote:
Frankly I do not think so.
The board of directors has little option but to accept both offers for Aeroplan and our minority interest in PLM (Mexico). While they will of course try to negotiate a higher price - that is their job - I expect both assets to be sold.
Once Aimia has disposed of Aeroplan and our interest in PLM what is left?
Is it worth having a public company to hold such variety of relatively small and unrelated assets? I do not think so.
That leaves two practical possibilities:
1) privatization through a public share offer
2) liquidation of Aimia: sell assets, pay debt and all liabilities (including unpaid dividends from June 2017), redeem preferred shares, pay all taxes outstanding and divide remaining among common shareholders. In such instance how much do you think every share will get? $1.00? $2.00? $3.00? or more?
Does anyone here see a better realistic outcome?