Ann: Trading Halt, page-589

Currently unlisted. Proposed listing date: WITHDRAWN

First 589 Last

Share
Profile

Follow
jlo2012

3,130 Posts.

2397

21/02/18

09:02

Post #: 31208962
Share

Originally posted by Thanky ↑

There was also an asymmetry in the negotiating position. The agreement was drafted when the share price was low. Then after almost a year or due diligence the deal goes through. By this point BIG is growing super fast and is starting to grow very fast in the USA. Tipsly would have known (given due diligence went well) that BIG needed the app.

If I was Tipsly and BIG turned around and said oh we only want to give you x number of shares even though we did discuss y number of shares 10 months ago because they're worth more now. I would have said well tbh you like the app, you are moving fast into the USA, if this deal falls through you're going to have to go back to the drawing board and lose momentum, so how about we just keep the original deal.

A better negotiator would have worked in a ceiling price back when it was original negotiated but throw in a pinch of greenness in mgmt and we could get to where we're at. I've been in negotiations before where terms have slipped in that weren't fully contemplate at the time. That's business my friends. Anyway, that's my view, people can reach their own conclusions.

Expand

Management would have had high expectations of future SP growth when negotiating the deal but surely even they would not have thought it would explode the way it did. As someone else said I think yesterday, BIG have been victims of their own great success with some of these deals. In some ways its similar to people that whinge about having to pay more income tax. You are paying more tax because you are making more money!

BIG Price at posting: $2.22 Sentiment: None Disclosure: Held
Upvote

0 Great analysis

Reply

Top Stories

AII

A new NASDAQ listing for a key player in the global critical minerals space

SYR

Syrah jumps +19% as graphite tariff threat spurs optimism down under

Week 29 Wrap: ASX hits new all time high of 8,766pts ahead of Aug 1

PSC

Prospect's Mumbezhi Project puts it at the middle of copper's megatrend. And FQM just bought in

STN

Saturn brings up seventh straight Apollo Hill upgrade on 'impressive' 300-hole drill run

DRO

History repeats for DroneShield investors but carnage so far subdued

Listen: HotCopper Wire Podcast 018 – Potatoes, TACOs, and the $120M helicopter heist

HotCopper Highlights: Trigg; Droneshield; Lumos & more

SER

Strategic Energy extends its QLD copper-gold frontier with Diamantina acquisition

BDM

Burgundy plunges -20% after turning to layoffs to navigate record-low diamond prices

First 589 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

Ann: Trading Halt, page-589

Top Stories

A new NASDAQ listing for a key player in the global critical minerals space

Syrah jumps +19% as graphite tariff threat spurs optimism down under

Week 29 Wrap: ASX hits new all time high of 8,766pts ahead of Aug 1

Prospect's Mumbezhi Project puts it at the middle of copper's megatrend. And FQM just bought in

Saturn brings up seventh straight Apollo Hill upgrade on 'impressive' 300-hole drill run

History repeats for DroneShield investors but carnage so far subdued

Listen: HotCopper Wire Podcast 018 – Potatoes, TACOs, and the $120M helicopter heist

HotCopper Highlights: Trigg; Droneshield; Lumos & more

Strategic Energy extends its QLD copper-gold frontier with Diamantina acquisition

Burgundy plunges -20% after turning to layoffs to navigate record-low diamond prices

Featured News