RE:RE:RE:OfferI3e has paid only 1.7M$ on the 3.4M$ consideration to buy all TEI debts.
From its cash resources, i3 purchased all rights and interests in TEI’s C$24.8MM senior and C$3.2MM junior debt facilities for C$3.0MM and C$0.4MM, respectively, paid 50% up front and 50% at year-end
Before I3e can exercised is option:
I3e shall had the other 1.7M$ in cash or TEI has 1.7M$ in cash in the bank account
If TEI cash on hands is used to paid the second 1.7M$, a Court will never approved the actual I3e offer.
In any I3e increased offer all the cash in TEI hands shall be distributed to TEI shareholders.
An other deal can be done:
I3e forgive all TEI debts for 50% of TEI.
Then TEI has a capital gain of 28.5M$ offset by 14.25M$ of the tax pool. After that, TEI can distribute is cash flow to shareholders 0.027$ (= 8M$/300M shares) per year at a production of 1000 boa per day.
That cash flow put TEI share price at a minimum of 0.10$
Then I3e shareholders does not have any dilution but I3e will not get the TSE listing and can not used TEI to expend in Canada and in USA