Concordia Healthcare Corp. T.CXR.R

I Think Managment Should Accept A Take-Over Offer of $50+

[Register123]

Like many on this board, I believe CXR is significantly undervalued. The problem is, the market seems to insist on viewing CXR in the same light as VRX. Though this is very unfair, it seems that CXR has been punished for the sins of VRX and I'm not sure if things will change anytime soon. Given that new VRX CEO Joe Papa recently stated that it's going to take a few years to remake Valeant into a strong, stable operation (provided he can actually deliver), perhaps CXR is destined to continue to be painted with the same brush as VRX going forward (Sure, CXR has a significant amount of debt, but nowhere near the mountain that VRX is dealing with).....Consequently, I think it probably would be best to take CXR private where it would be out of the public eye where it has been in the crosshairs of shorters, knee-jerk reaction investors, etc......I understand Apollo submitted a final round bid for CXR (don't know if there are any other interested parties), but if their bid was for the cash-equivalent of $50 or more per share, I think this would be a reasonable offer, and I would hope the CXR Board accepts it and recommends it to shareholders as a friendly takeover offer.....Shareholders can then vote and have their say as to whether the offer is acceptable to them......

[CNInvesting]

Well when the ''market'' for CXR is made up of a bunch of shorts manipulating the price and painting the company with the same brush as VRX' it's hard to not see the price as biased in one direction. There are obviously a good many funds who see CXR for the company that it actually is and invest their capital in it. I don't think 50$ CAD is a fair price and I sincerely

[Register123]

I think it would be terrible if the Board received an offer of $50 CAD or better and rejected it without taking it to shareholders for a vote......

[CNInvesting]

Well ask yourself this: who would benefit the most from a takeover at 50$ CAD ? I think it's quite obvious: short-term ''investors'' and traders ( the only ones who actually benefited from all this nonsense (commission baby!) ). Many guests on BNN (most recent are : Colin Stewart, Mike Newton, Michael Smedley ) said to consider CXR on fundamentals, not on short-term noise

[curiousbuild]

One year avg closing price is $49CDN so add little bit premium on top of it.. It's too late to reject $58CDN if it is true, still rumours though. They should have killed BO talks on earnings day that's all I can say.. numbers and guidance were good but mgmt fked up with strategic reviews nonsense.. I expect brexit risks but not this manipulation by media and leaks etc.. CB

[Register123]

Some additional comments on this topic1) From what Ive seen in the past, companies only announce a review of strategic alternatives if one of the alternatives is the sale of the company (or a merger of equals into a larger entity). For example, over the past year, many small cap Canadian energy companies have been restructuring their debt, but they dont announce strategic review committees before

[Ellesse]

Let hope big news will be announced next Monday !!!!!!!!!!!

[visionaryfool]

I think unlikely. Probably after the Brexit vote is done.

[curiousbuild]

That means deal is reached and needs to be disclosed. They can't keep it secret.. Let shareholders decide if they wanna sell or buy more before Brexit vote. If bidder is making brexit conditional that also needs to be disclosed with shareholders.. Let's see how many articles we get this weekend.. down 11% this week.. Damn CB

[terminator007]

I'm also hearing this rumor that the deal is done and mgmt may come out on Monday with a deal. 

[yrmac]

Terminator $50 usd or cdn Thank Have a nice week-end

[Craigbad]

If there was a credible rumor of closing, the stock would close roughly 10% below said price. That would mean by todays close the rumored price would be around $33. Lol be patient, brexit vote is June 23rd and Bnn reported that its contingent on the outcome for pricing. Likely going to be some big volatility until then. If the deal gets pulled, be ready.

[terminator007]

Did not you hear "there is an apetite and desire to come out........" I'm ready to sell at 50 cad, with a deal price 55 cad. How about this?

[donaldspice]

Who said there is a desire and an appetite to come out?

[CookieMonster]

Folks, you should follow Billy Kenber on Twitter to understand the U.K. pricing issues as opposed to listening to Cahodes bitter rants.  It is a big issue, but when Cahodes says bankruptcy, I will totally call the chicken farmer out who blew up his hedge fund.  He seems like a very bitter man!

[terminator007]

UK has more to worry about avoiding Brexit than any other issues at present.

[GoldBug024]

The UK petition hs stalled at 130,000

[curiousbuild]

You would have 5M signature if that were pet medicine and food related pricing issue.. just saying. CB

[Roller007]

Goldbug:  I guess lattice and pineapple started to get hand cramps.  

[GoldBug024]

roller, maybe rollers chickens can't peck at the keyboard fast enough lol

[GoldBug024]

I mean cohodes chickens

[Craigbad]

That would be awesome, i'd be almost 70% up from todays close and could reinvest and get a return on that with any luck!

[terminator007]

You were short, right? How about your short position? Will you break-even or down even more?

[Craigbad]

Nope, long position strictly for a buyout. I think it blows up in the short term without a buyout premium. Nhs is already recommending doctors ditch prescribing one high profit Amco drug, i'm dubious about the pipeline, and not interested in finding out if MT is worth his $9 million salary. Lots of great charts out there of which this isn't one, but i don't mind gambling for a short

[terminator007]

well, you sound like Cohodes' chicken, but there is no BO premium at this moment. Nada. Zero. People who had to sell already sold. Those who are staying are long and strong. Good luck covering short.

[Craigbad]

So your telling me there's offers on the table and no buyout premium? Sorry, that just doesn't make sense. We'll all find out rather quickly if it "leaks" that potential suitors have withdrawn. But lets hope that doesn't happen.

[terminator007]

Yup, there was premium at 44 cad and stock took the hit with false rumour. Now traders are not  really betting on a BO gievn all these mess, unless they hear from the mgmt. At this low, down 30% from recent high, ppl are only holding because they believe in this company. Even this was the price before ER, which every1 expected to be horrendous given VRX mess. You better cover bro

[Craigbad]

I think you underestimate the market. If Apollo walks away there will be a whole lot of questions about what they found in the data room that scared them off and it will take a few quarters for them to prove that everything is as it should be. Glad to see you have conviction, but don't kid yourself that there's no risk here is all. If my research has proven correct, any price rollbacks the

[Roller007]

Graigbad: great points but let's not forget that Cxr is not trading based on their forward earnings not in their guidance. The market already discounted the factors in question. Secondly the potential buyers walking a away will most likely be due to the fact that they could not buy Cxr at their price. There are risks in every business, Cxr is trading at a huge discount to its assets, the buyer

[Roller007]

Additionally, a good buy is not be picked up at an unjustified discount, it's not when you pay full value like Cxr did with amco.  If Cxr is sold for let's say $60 dollars then this buyer is picking up coivs, amco, and cxr's original portfolio include Donatel for just over half of what Cxr paid for coivs and amco. That's smart business if you know that you can run these

[bull_man]

craigbad, i agree with you as to the "if they walk away, will cast doubts on what they found in the data room".....however, they haven't walked away yet (and apollo was most probably the highest bidder with the best package), which leads me to think that there remains conditions of some kind, either waiting for the CXR board review & approval, or waiting on the brexit vote (the

[Craigbad]

I think thats pretty realistic. But a potential suitor will also be looking at all the scandal noise in the British news which throws bigger unknowns in the mix which may be a holdup as well. Potential price rollbacks to keep the peace, any delays in new product launches due to the loophole being exposed and Nhs asking doctors not to prescribe an Amco drug (which has already been reported as

[Pj1958]

BULLBEAR....they won't walk away as they would have already if they didn't wantCXR. They will told to walk if their offer is not accepted. At which point the offer that was rejected will be announced by the company. Let's say for the sake of argument that their rejected offer was $50CAD , then I believe that the market will take this as a positive . Since this rejection would have been

[fdfd12]

I really don't think that you will know the offer price. Often things don't work and you never hear the offer price. They come out with statements like, "as this time, there was no agreement reached with the other company and CXR will continue in its business". Some line liked that but in more professional english. You guys all say, if there is an offer, they have to let us know

[Pj1958]

FDFD.....don't be naive.... We will all know the offer if one is rejected.... CXR will want that out there to show people that they have confidence in the company going forward... It may not be a press release , but you can bet a rejected offer will be telegraphed , so as to show investors that CXR will do better as a standalone company. quote=fdfd12]I really don't think that you

[GoldBug024]

I didn't there was a 10% rule written in stone Cb?