RE:RE:RE:RE:RE:Company reasoning for the credit limit increase direct quoteThere's a difference between pure speculation and a company putting things in writing that would suggest they are going to continue with business as usual as an independent entity.
When the CEO (Shaun Maine) is quoted in the company's own press release yesterday stating....
"We are pleased to have the support of our banks, which strengthens our liquidity position on attractive terms and supports our disciplined acquisition strategy in North America and Europe," stated Shaun Maine, Group CEO of Converge. "We are well positioned to continue creating value for our shareholders through organic and inorganic growth and strategic capital deployment."
....it is not far-fetched to suspect that CTS is more likely to stand pat and not be taken out. No guarantees of course, but I would say the above is not good news for those who want a buyout, and I think a takeout would be by far the best option unless any firm offers received were so low-ball that CTS has no other choice.
If CTS does not sell, the above would strike me as an attempt to soften the resulting blow to the share pricee before the Special Committee's no takeout decision by getting news out first that they have the resources and backing of banks to move foward with their growth plans. However, I don't believe this PR will provide much of a cushion if business as usual is the decision.