RE:RE:RE:RE:RE:XX and SSC halteddeleuze68 wrote: The Fax Capital disposal I believe happened before the original buyout announcement as they received $1.35/share. I'm thinking it was done privately.
The Logixx business has deteriorated significantly over the last 3 years. Margins sinking, growth plateauing, and just too much competition. Once you take out the higher margin boost it received due to Covid security work it is barely profitable. This is the reason the share price had been in a steady decline before the buyout announcement. They have now fixed this problem and will be sitting with 55 cents/share net cash. There is no logical reason the share price should be trading below where it was before the busted buyout.
Fair argument, for sure. My point was mostly that you have to be careful drawing conclusions from Fairfax's actions. Their interests often differ from minority holders. (Look up the Fibrek saga to see what I mean.)
Maybe this is normal course, but I note that Fairfax's Support Agreement stipulates they will vote against any competing acquisition proposal.