New here, here's my take. Sonoffergus, I know you arewatching me, this is the company I'm talking about. Ok... My take on the Tender and some possible outcomes.....
Purchase Price $12 Can.
Puchase amount $40,500,000 Can.
Acceptance until Oct 17th.
Maximum share to be purchased 3,375,000 shares.
84,188,756 shares outstanding.
Catalyst and Gramercy own respectively 34,775,609 shares and 11,300,032 shares.
Officers own 246,569 shares.
Pro-rated is over surcribed the 3,375,000.
Basically this is the info that I understand.
Ok, outcomes:
Catalyst and Gramercy tender all their shares along with officers for total = 34,775,609 + 11,300,032 + 246,569 = 46,322,210 shares ! this is way over the Maximum.
If no one else tenders, will get 100% of the 3,375,000 at $12.
If you have 50,000 shares and tender... now the total shares tendered is 46,322,210 + 50,000 = 46,372,210 shares.
Your pro-rated % share will be 50,000/46,372,210= 0.00107 = 0.1%
0.1% of 3,375,000 = 363 whole shares.
So, out of 50,000 shares that you own, only 363 shares will be taken up. I think this is the best senerio. Your % just goes lower as others tender also.
So, it's basically pointless if they tender all their shares unless you own millions of shares.
Now the Totally opposite outcome.....
Catalyst and Gramercy tender no shares and only officer tender their 246,569 and you tender your 50,000 shares for total 296,569 shares tendered.
Your pro-rated % = 50,000/296,569x100 = 16.859%
16.859% of 3,375,00 = much more than 50,000 so all of your 50,000 shares will be taken for $12.
JUST CRAZY....
Ok so what is more likely, C&G will tender ALL or NONE of their shares???? Crazy Crazy Crazy.
Also crazy, is the $12 and how regulatory bodies are allowing this. Why not $18, $25, $30/share????
How about $100/share? If this sounds crazy, then how is $12 justified?