RE:RE:RE:RE:SchoolinMoeIt was survival mode I think. Both companies were near the end of days. He wanted to merge the entities, the debt, and the production. The synergies would lower break even. This way banks gave them more time. With the larger production, and lower breakeven, and high revenue, the hope would maybe be to refinance some away from the Canadian banks into new notes.
The thesis was intuitive and would allow the banks to merge debt portfolios and maybe decrease loss provisions
I think it was also a tactic to force the markets to see the dislocation between the two names.
He had to create some story to survive.