GREY:NMKEF - Post by User
Post by
Charleneon Jun 13, 2020 9:56am
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Post# 31146451
Drivers seat now
Drivers seat nowWe have 8 serious offers. We rejected 5 offers that were probably 'firesale offers' (sorry Calgary). This is a 3billion+ company in full operation, which requires $1billion in addtional investment. So, there is $2 billion sitting on the table with NMX, which is why there were more than 20 parties interested, 13 LOIs, with qualified LOIs remaining. The question is who will want this more and how high the are willing to pay for an acquistion.
Suppose credit claims come to $200m. Then if the acquirer pays:
- $400m, then shareholders get $0.23/share
- $600m, then shareholders get $0.47/share
- $800m, then shareholders get $0.71/share
With this healthy competition, why would someone pay $600m or $800m to get $2billion. Good luck all.