yodiyo...
Might be tooo early to be patting ourselves on the back...but if a situation makes sensem especially financially, then it usually happens.
As for options, they are normally treated not differently to the heads...thet is, what ever offer price is made, the options simply get the offer minus the exercise price.
A similar formula is used in the case of a script for script takeover, which I would not be surprised to learn takes place here.
In y view, a takeover was always on the cards some time before the parent companies options expired in Decmeber...it is simply not sensible for them to exercise some $34m dollars worth of options given the grand plan they appear to have for a single large presence on our exchange.
They have capped it well, so will likely offer less than the inherent value of GUJ...but given the parent is unable to vote...nor are the co-directors, any offer to GUJ shareholders will need to be commensurate.
My guess...a script for script takover, perhaps with a small cash compnent...and concurrent spin-off of the metals assets.
I also suspect the little buyig flurry of last week probably coincides with when the deal was finally concluded.
My guess, a final "value" per GUJ share, whatever shape it takes, including sweeteners, nearing 75c per share...if not, they may have trouble getting in through.
Say 60c or so per share and about 15c per share of value via a metals spin-off?
Might depend of the maths however, in which case the recent placement, which as I suggested was clearly a means of gaining long-term support via a first-up windfall, is clearly a "safe vote".
They clearly never needed the money...but votes were obviously lacking due to the nature of the relationships between the two companies and inability for many of those involved to cast a vote.
Corporate chess...I smell a checkmate!
Cheers!
GUJ
gujarat nre resources nl
