It is my opinion that they will not wish another auditors note on working capital to their accounts, and so will make every effort for their working capital to be as healthy as possible on that date.
Now since the last report as at 31st December, they will, by end June, have had 6 months of admin, operating, and takeover costs and only an undisclosed net amount from a gross fund raising of £500,000, to add to their pre existing working capital.
I think you can draw your own conclusions from those facts.
It is therefore my solid opinion that they will sell off some or all of the MEO shares pledged to them, after the end of their June 12th offer period, so that their year end accounts show as healthy a working capital position as possible.
Effectively meaning the end of their RTO attempt should be formally announced shortly after the end of the June deadline.
If I am right then the actual disposal date may well be a fine balancing act for them , will they hang off as long as possible before disposal, in order to see if short term price catalysts kick in for MEO, ie Beehive partner announced, TS JV meeting announced.
All in my opinion of course, and my analysis of the situation may well be flawed.
MEO Price at posting:
1.7¢ Sentiment: Buy Disclosure: Held
