Hypothetical questions What do you think the effect on the share price would be if the families were to relinquish control of BBD? Would the families consider giving up control of BBD if they had control of BA?
It seems to me the simplest way to handle the debt is through an equity offering. Of course, this would require the families to purchase 50% of the offering in order to maintain control. I don't think that would happen.
But let's imagine a scenario wherein the families sell some or all of their shares in BBD and roll that money along with the monies they have from their sales of BRP into a controlling interest in BA, with BBD maintaining a minority stake. What would happen to BBD share price? I think the news that the families were giving up control, combined with the cash injection from the sale of BA, would cause BBD shares to soar. I think that could be a good time for an equity offering to raise funds to deal with the debt.
What do you think?
Jim