Ann: AS1 receives indicative, non-binding & conditional proposal, page-6

Reject it? The Board has agreed to it, and will likely be penalised $200k if they talk to anyone else, shop around for other bids, consider other offers, or end up rejecting this offer.

To my mind, the only way for the bid to be increased is for a third party to lob a superior bid without any discussions with Angel Seafoods. It could happen, but it seems that Thorney may already be aware of this takeover bid and are backing it (not sure from the reading of the documents). Thinking about other aquaculture investors, we recently saw Twiggy Forrest buy up abalone licenses in WA; we also saw bids from Twiggy for Huon; Tassal had a low-ball bid for Huon too; not sure of other private equity's interest in this space? East33 are only interested in Sydney Rock Oysters, though they have deep pockets looking for accretive acquisitions. Hmm, not sure, but let's hope so.

By 10 Feb this should all pretty much be worked out according to the agreement. My guess is intrinsic value is closer to 17c rather than 24c.. but still, one could buy today at 18c and get ~10% return in six weeks if you think this is basically a done deal, with the optionality of a competing bid coming in to push up the price.