Fibrek Inc FBKZF

FBK - Abusive offer by major shareholder

[p.yu]

The bid for FBK is nothing more than an oppression of shareholder by the companies controlling shareholder. Fairfax happens to control both Abitibi/Resolute and FBK. Abitibi's future is in doubt as ABH's markets erode, they are simply making an offer for FBK to help diversify their business and grab the company at a ridiculous valuation.
Can't really blame them for trying, the problem is they are acting in concert with two other shareholders of FBK and now control 46% of FBK. This deal needs to be scrutinized by the OSC to insure minority shareholders are not being oppressed by their controlling shareholder, Fairfax who may be acting in concert with two other large shareholder/followers of Watsa. 
Surely there is a provision within the securities laws to protect minority shareholders from an abusive offer from its controlling shareholder. Watsa knows this offer is well below fair value and if he were on the other side of the table, he would not stand for it. Since he is conflicted, he and his two fellow friends/followers should not be allowed to vote. How sad it is if he should prevail in this takeover. 
Where are the regulators. Is there a white night willing to step up and force Resolute to pay up... Oops, I mean Abitibi...oops I mean Fairfax....oops, I mean Watsa.   Where did he come up with that name...Fair...fax. Fair, not a chance, opportunistic and abusive, absolutely.

[AIGswap]

The PR only explicitly mentions 66 2/3 minimum tender, implying that they believe this is not an "Insider bid".  I would be shocked if this didn't require the "minority of majority" tender clause due to the fact that Fairfax is clearly a related party under MI 61-101 (given that they are controlling shareholders of both entities and stand to receive a substantially

[oddykog]

Presumably the lockup agreement with the two institutions has a clause that lets them off the hook if a better offer comes along for FBK. The board is certainly working with some investment bank at present to put together a better offer for Fibrek. Tembec, and Mercer come to mind as potential merger partners, since both have profitable Canadian pulp operations. If no other company is interested

[AIGswap]

No, read the lock-ups attached to ABH's 8K.  These are hard lock-ups and prevent the tendering into a superior bid:  "Under the Lock-up Agreements... the Locked-up Shareholders have no ability to withdraw any Fibrek Common Shares to tender to or facilitate any competing transaction."FBK could try to get the OSC to amend these to soft lock-ups (given the collateral

[belowIV]

Presumably the lockup agreement with the two institutions has a clause that lets them off the hook if a better offer comes along for FBKWrong.