Post by
papaloapan on Jun 24, 2024 6:39am
BTG consolidation
Interesting agreement over the weekend with BTG. If I read it correctly, Prime becomes 100% owned by AOI, and BTG becomes a 35% owner of AOI.
Current shareholders essentially double the cash flow from Prime in return for a circa 1/3 dilution. The gap is essentially perceived value of other AOI assets, but it leave room for increaed distribution.
It is effectively a change of control . Anyone know enough about BTG to understand the impact on future direction ?
Comment by
Suppe11 on Jun 24, 2024 8:01am
Imho, it's a great deal. But no symplifying of the structure. They'll create the 100th sub-company, so I don't expect the overhead to come down. They'll rename the "burned" name Africa Oil....
Comment by
firstworld on Jun 24, 2024 10:02am
Good deal for BTG who gets their hands on Namibia and AOI massive entitlement. I like the div and cash distribution aspect, as well as the Jan 2024 effective date.