RE:FunnyMajor shareholders like Riverstone may not have our best interests in mind but they definitely have their own best interests in mind. No one with $240 million of skin in the game is going to agree to a deal that you think is so horrible and bad.
Your opinion that PIPE should get 15% of the new company would be a 67% premium compared to the 9% that PIPE and Riverstone agreed to. Do you really think that everyone is so stupid that major investors and their professional advisors would leave this much money on the table when making a deal like this? That does not make any sense. Both parties and their advisors had full access to relevant information for both companies. They came up with an exchange ratio that both companies agreed was fair and reasonable to both sides. Should we accept your valuation of this deal, based on zero inside knowledge, over the opinion of the experts?
LNG Canada opening up is great but that is still 18 months away. The amount of cash flow Strathcona can generate from now until then could be immense. There is a reason why Eric Nuttall continues to preach Canadian heavy oil and frowns upon natural gas producers. The growth and valuation of Strathcona will be way beyond what PIPE can accomplish on their own.