Fibrek Inc FBKZF

Re Re: Low Ball Offer

[jidamo]

    
I agree there is enough value there for Tembec or someone else to come in with a better offer, however,
the big fat break up fee is a real roadblock to anyone else taking a shot at this so I suspect it won't happen.


However, If any shareholder is not happy with the price he or she would receive for their FBK shares they
have the right to dissent and go to court in which case the court would set the value.  I am currently a dissenter
in the Arcelor Mittal take over of BIM (Baffinland Iron Mines) and it appears it is going to be a long haul.  I was
previously a dissenter in the Voisey Bay Nickel takeover by Inco.  After 4 1/2 year I got $24.50 per share vis a vis
the original $7.50 offer that most shareholders took.


I am wondering if there are any other shareholders out there who are unhappy with the current offer.  Unless
there is a significant number of shareholders or a big fund or somebody to take the lead it probably is
not worth pursuing because of the upfront legal cost, however you would likely get your legal costs back
if successful.

[st96dgx8]

Do you have an estimate for the upfront legal costs to exercise dissent?

[jidamo]

I can only tell you it can be very drawn out and the more drawn out it is the greater the legal costs. It would only be practical to dissent if a significant number of shareholders were interested in dissenting and all got together to share the legal costs such as is currently happening in the BIM dissent case.  In the BIM case there is a significant number of dissenters grouped together