That sounds reasonable way of taking advantage of inevitable consolidation . The Cooper is unique in having a lot of smaller players with good acreage .
I don't think Beach could raise the funds to buy Icon with cash . $250m-$400m would not be enough to do it in my opinion .
It would have to be a merger which enabled Icon shareholders to retain exposure to the Cooper .
The current market caps suggest something on a 94%/6% basis but I think anything up to an 80%/20% basis would be a smart move for Beach in the longer term .
Who knows what preemptive rights Chevron may have negotiated with Beach to guarantee participation in further deals though .
BPT Price at posting:
$1.46 Sentiment: Buy Disclosure: Not Held
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