RE:Always long "Lol, There are a few institutions that own a couple of shares here at TLG, I tend to think their vote would determine a succesful take out bid should one be tendered. lol. "if Justin decides to sell the company" AND a 30% premium from last days average would be laughed at by all. Giving your 40%, TLG selling for C$ 93 cents ? hahahaha. yeah that will not happen. It would be considered quite a failure for shareholders.
IF this goes the partnership route there is NO way ( extremely unlikely?) the partner ( a major or maybe a mid tier) would ever allow TLG and the Justin team to be in the power controlling seat of 51%+."
Agree a sale of the company is very unlikely as if this was going to be the end result, it almost certainly would've been announced by now. The only reasoon I mentioned it as a possibility is because it appears JR has a habit of changing his mind, so if he gets cold feet about sticking around for the financing and contracting stage, he may go to the Board and recommend this option. If institutional owners are presented with the full picture of how things will likely play out going forward vs. taking a nice profit now and moving on, they may vote in favor of it. SBB institutional shareholders did. MOZ institutional shareholders did. Who knows for sure...?
As far as TLG's institutional investors go:
1) Groups of institutions have each owned lots of shares in loads of companies over the years, and not all turn out to be good investments. An example re. a company similar to TLG was MOZ. Blackrock, one of the largest asset managers in the world, was MOZ's largest shareholder until it started gradually selling off its position when it saw things were not going well during the financing / contracting / permitting phase of their project.
2) TLG institutions don't have much skin in the game. TLG's market cap is around $180M. The company states on its fact sheet that approximately 50 "global funds" own 64% of the company or around $115M worth of shares. Thus, each institution owns about $2.3M worth of TLG shares on average. Unless these are tiny entities, this is not a lot of money for the vast majority of mutual funds / asset managers. So yes, these institutional investors are likely looking for a multi-bagger and they could be right, but not necessarily.
That said, I think a JV agreeement is the more likely route and the only other realistic option TLG has to raise the initial capex for the project IMO if JR believes the best move for TLG is to stick around. What % ownership of the project TLG shareholders will retain is anyone's guess. However, I would note that the lower the % of the project TLG shareholders own, the less of the bounty they will earn once the project is up and running.