Next offering may be $1, page-6

So in a very bad year, company managed to get the EBITDA of almost $140M. Current mcap is $260M.

Existing debt is not that bad as company clearly has the capacity to make the money and pay its dues. New deal on the table will help to further decrease the debt risk.

Prospective suitor is a well-positioned global player with complementary line of business, so in perspective would allow significant new cash flow sources. I haven't really calculated how much could the synergies bring (I'll wait for someone else to run the numbers down ) but on a longer term this could turn out really well (e.g. BHP/RIO-like well).

Not to mention that there is a high possibility of other competitive offers (e.g. Koch). Any merger will need to get the shareholder's approval, there's no way that Sigdo Koppers / Magotteaux merger would get approved if there's a much better deal on the table. Ergo, SK might make a better offer after two month's review to make the deal go through.

And you reckon that at $1 price this deserves a market cap of just $170M?

Short-term everything is possible on ASX, especially with lots of shorters crashing the price, until the fundamentals (or another takeover offer) put things right, but I would say that $1 is highly unlikely. On Friday I've had my hooks around $1.20 hoping for a stop-loss market action when the share price went below $1.50, but that was futile. I reckon that most of stop-loss selling was already done at dive below $2 and there's not that much EOFY sellers left.