RE:RE:Cenovus - ASSUME 'SMART' GXE shareholder:
- ALL GXE shareholders OPT for MAXIMUM CASH ALLOCATION as a GROUP CLASS
result:
- CVE pays MAXIMUM CASH allocated to GXE shareholders which is $ 80 million {the remaining
$ 30 million will go to GXE CREDITORS + FEES + Newco WORKING CAPITAL}
- assume GXE S/O is 263,600,000 shares
CASH COMPONENT for EACH GXE share:
80,000,000 / 263,600,000 ~= 0.3035
$ 0.3035
NEWCO SHARE COMPONENT
for EACH GXE share:
0.6070 - 0.3035 = 0.3035
0.3035 / 0.6070 * {0.3035} = 0.15175
0.15175 NEWCO share
SO END RESULT:
1 GXE share = $ 0.3035 + 0.15175 Newco share
EFFECTIVELY:
- GEAR ENERGY is DOING a $ 0.3035 RETURN OF CAPITAL to shareholders and DOING a 6.363 FOR 1 REVERSE STOCK SPLIT with Newco shares
z173