CRH Voting Results Next Fridaylooking at the pop today with the closing of Intrahealth, I expect to see share price strength as we near the results of the CRH vote and subsequent closing.
having been a shareholder of CRH for many years, I expect the tender to be successful noting the stock has a very large institutional ownership presence (~42% of shareholders). the current top shareholders entered the name with a liquidity event like a sale/take-private as their exit. they forced the old CEO out and the appointment of current CEO Tushar Ramani signalled a sale/take-private was going to happen.
the WELL bid was opportunisitc (happened right after CRH "lost" a contract which was ultimately saved) and likely under-valued CRH a little bit, however, with the covenants of the deal that are in place I don't see another bidder emerging at the 11th hour. I think institutional shareholders will easily vote YES to get their exit.
I also suspect that some shareholders will follow into WELL, as I have, as the CRH growth story is a compelling one. This is especially true now that it will trade at a higher multiple under WELL.
GLTA