RE:I repeat
My argument is not that the merger do not makes sense and is logical. On that I agree!
However it is the terms that I have a serious problem with, it is the respective market caps of both companies on the day before the merger was announced and other things like PE ratio and AISC/oz . the cash in both ompanies , the debt of AEM vs KL no debt.
You mentioned that since AEM have less shares outstanding than KL that it is partly the reason for the small premium.
But based on that argument alone, the market cap on the day before the merger was announced AEM was trading at $49.2 US and
KL traded at $43.9 US giving AEM's market cap. of 12.005 Billion US compared to KL's of 11.775 Bill. US, nowhere near a .7935 discount.
Like it was explained to us , a merger of EQUALS. except 0.7935 is no where near equal!
The argument that was presented about average trading values for some time in the past, is irrelevant.
I dont suggest that that AEM shareholders should be in the minority, dont even think that 51/49 is not realistic, however everyone know that this merger stopped the slide of AEM in its track, as well as stopped the rising tide of KL
Like I said before, all are equal but some are more equal than others.