Alexandria Minerals Corp ALXDF

Chantrell shopping for the break fee

[Myrtlesman]

Their offer stipulates that the break fee moves from $875,000 to $2,200,000.  They know that AEM can and will beat their offer, so they will deposit $2.2M in their coffers (minus their costs) and call it a day.  The offer did not indicate any shopping period, so depending on what that is, AEM could bid soon or wait.  If they come in with 8 cents or even 9 cents, does Chantrell roll the dice again with a $3M break fee item?  Probably not.  It would cost them 9-10 cents, implying a $45-50M investment, and they don't have that much cash (I think).  Hoping that AEM will end this today and we can stoke up some cigars to celebrate a win in conjunction with Canada Day.  

[easycoder]

I like that analysis, Mrytlesman..  but does AZX have to agree to the 2.2 mill? I expect there are some phone calls going on.. "Provided that Alexandria is in compliance with its non-solicitation covenants in all material respects, if at any time prior to obtaining Alexandria Shareholder Approval, Alexandria receives a written Acquisition Proposal, then Alexandria may engage in or

[chadio]

....seems the shopping period has been reduced from 10 business days down to 5 business.......from my feeling from talking to WH, in person at PDAC, is that he and the board don't have the final say with AZX.......I got the feeling from something that was said......let's hope Agnico comes in at 9 or 10 cents and put Chantrell out of it's misery, obviously they want this property

[ASHRAM]

hi chadio how you know that shopping period change from 10 days to 5 days.what will happen to break fee.is aem will pay if they make another bid.

[Sphereinfo]

Does anyone know the break free Chantrell had to pay to over bid AEM? GLTA Shereinfo.

[Flopticalcube]

None as Alexandria never agreed to the AEM counter-offer.

[Flopticalcube]

IMO Chantrell raised the fee because they know AEM will counter with a superior offer (probably with cash option) and the fee is their way of saving face. No way O3 will be $3.88 on listing.

[chadio]

hi Ashram............the news release from Chantrell has the shopping period written in one of the bullet points about going from 10 down to 5 days