Entree Resources Ltd T.ETG

why not?

[mrpancake]

RIO is not making an offer because they know HCU will not vote for it. If RIO purchased HCU first then they can make an offer for ETG and have around 38% of the votes. Could HCU be the one to own as RIO will pay a premium to get the votes?

 

Step 1. Make and offer to all HCU Shareholders.

Step 2. close the purchase of HCU.

Step 3. Make an offer to all ETG shareholders.

Step 4. Close the purchase of ETG

[Rock9011]

HCU - 86 m shares  say at $2.25 = $200 m by the time the dust settles. HCU owes SSL $185 m  plus interest say $200 m  total $400 m Purchase ETG @ $4.00 = $820m - bargin basement price - likely still wont fly.  Thats $1.2 B. Don't purchase HCU  $1.2B /205 M shares of ETG = $5.85  say round to $6.00 Purchasing HCU not worth the hassle.  Antimina is chicken

[mrpancake]

"Make a fair offer for ETG and vacuum up as many of the shares as possible"  -   I was led to believe offer shareholders vote in favour or reject - no vacuuming up shares allowed (by regulation) and its 75% of the shares Rio does not own not majority of outstanding shares

[Rock9011]

I believe you are correct.  Companies incorporated in BC - one must have 75% minimum to take the company over.  Of course he/they that own at least 51% of the shares can install their own folks on the board and could even take over the Board and run the company.  No one says someone can't buy as many shares as they want if they shares are available.  My assumption is RT

[Rock9011]

If RT wants the company cheap, all they have to do is wait for Trump's tarriffs to kick in and the loonie to drop to 30 cents.   If Canada stops shipping oil south we are in big trouble. 

[Countrygent]

Rio Tinto runs afoul of T/O Bid restrictions trying to acquire HCU as a bid for HCU is an indirect bid for ETG as well because it involves acquisition of over 20% in the aggregate of ETG.   There is an exemption for private sales but only at prices close to the market trading price - not premium takeovers like paying out more to HCU. There is no particular reason ETG management and HCU

[UNKLAL]

I predict no major chaos coming due to the current strength of Wall Street, but I guess we will see by early next week, EH??? UNKLAL

[sicnarf2]

I think all these copper boats will soon have to float higher !

[Ratso07]

Raymond James sure like ETG. They have acquired more that 500,000 shares in the last 30 days. Has anyone seen a recommendation by the Company's mining analyst ???