RE:RE:RE:As Long as the "Formal Valuation" is a minimum $18.50...
PCP doesn't need the board or TD’s fairness opinion to call a special shareholders meeting and put the deal to a vote. (Any shareholder who owns 5% or more of the share can put pretty much anything to a vote). The way, the stock is trading tells me that the market doesn’t believe that PCP can get the majority of the minority of the vote. As such, PCP will either have to up the offer or abandon the deal.
Incredibly, PCP has put the board in a very difficult position. If the Board accepts the deal they expose themselves to legal liability, and if they reject the deal, they end up in a battling the majority shareholder.
The difference between $18.5 and $20.5 is a mere $44m in added cost to PCP. This is not a large bridge to cross for this deal to proceed without turning into an ugly and hostile battle. I for once will not accept any offer that doesn’t have a $2 at the start of it and will vote no against any such proposal should it ever make it to a vote.