I now have about 90% certainty about who the strategic investor is....
The name certainly came across to me as unexpected and not my first, second, third,...or even hundredth guess but now I'm pretty sure I know who it is.....
Also, about who bent over who yesterday, it's pretty obvious!
Currently, most LP's are financially distressed. This sector is a chaotic mess but that is to our beloved gem Aphria's longterm advantage.
As a result of the financial state of most LP's, when they approach a "lender" for help they do so in a postion of weakness!
The financial institution, with it's jowls watering, smells blood and offers a very attractive "deal" for itself but conversely atrocious to the LPand it's shareholders!
The LP has two choices...take the "deal" and struggle on only to eventually go bankrupt anyway or decline, keep looking only to receive the same "offer" or worse everywhere else they go.
So effectively, they only have one choice and that's get bent over hard with no lube..and it's at this point that the shareholders of said LP are done because the dilution will be astronomical..point in case HEXO...over 120 million shares coming it's way increasing the float by 35% approx.
That brings us back to yesterday and guess the f uck what?
Aphria isn't one of the majority of LP's that can be described as financially distressed.
Converesely, Aphria is the best shape of any LP longterm.
So what does that mean??? It means that Aphria negotiated with a position of STRENGTH.
WE AREN"T WEAK WE ARE STRONG!!!!
And what does that mean?It means that we bend others over and shove it in sandpapery dry!
And what does that mean? It means that yesterday was a phenomenal deal for Aphria longer term!
What some don't get is this business climate is very harsh and that your balance sheet has to be pristine to attract the suitors that are currently RE - CIRCLING our space again!!
I am confident that what was done needed to be done for the takeover/JV end game to be accomplished!
Prof