RE:New Majority ShareholderDiscounted indeed - the market is pricing in 0% probability of the deal closing!!
I'm thinking/hoping that Mithaq is going to be an active participant in use of the cash, these boys need all the help they can get. I continue to be curious how/where Mithaq got their hands on such a large block of shares so quietly.
https://www.mittlemanbrothers.com/portfolio-characteristics/ - 25% of the Mittleman investment fund is in Aimia (as of end March, quarterly update should be soon), I'm betting their fund holders are also quite keen to see some return after a nothingburger for a couple of years.
nozzpack wrote: Mithaq with 10.65 million shares has moved ahead of the Mittkemen holdings and become the majority
shareholder.
I don't know if this has significance or not but being a holding company, assets held are discounted by the market.
Mithaq is probably aware of this.
Ways to offset this punitive valuation is by a substantial cash dividend .
Another and also very effective is to spin out assets into a new public company.
Aim has stated that it will use some of the PLM cash windfall will be buying cash generating businesses and use our substantial forward tax loss pools to offset future income taxes.
Why not spin out one or more of these profitable acquisitions to shareholders , say 75% to shareholders with the company holding the remaining 25%.
Everyone wins,,