Woodside Still a Good Bet, page-181

Correct me if I am wrong, but the prospective selling pressure anticipating the sale of WPL shares post acquisition by the BHP shareholders reduces the price of WPL shares, resulting in the AUD equivalent price of the BHPP acquisition being lower. This actively damages the interest of BHP shareholders.

If some BHP shareholders decide to sell the WPL shares, then the price will be further depressed after the new WPL shares are issued on 1 June 2022. This damages the interests of BHP shareholders even more as they sell and crystalise their losses by selling at an artificially depressed WPL share price...

Meanwhile, long term holders of WPL will gain the BHPP business which generates huge USD denominated profits at a time when USD and oil prices are abnormally strong unlocking massive and valuable projects and associated capital reserves, all at a lower AUD acquisition price. All this and with a positive carry via strong fully franked dividends...

The locked value of the BHPP business assets will also be unlocked over time via judicious sell-downs of the larger ownership stakes. Capital value is sure to follow over time when this massive merger is over and the smoke clears.

I do not see how WPL shareholders could lose from the way the acquisition is proposed to be handled.

Please let me know if you disagree or would like to challenge the rationale I have laid out above.