I guess it's hard to know institutional shareholder's...

I guess it's hard to know institutional shareholder's intentions, but I note ABB's share price has slipped in recent weeks since the Scheme was signed, valuing the exchange of OTW's shares for ABB's shares at about $5.35 today. Perhaps Naos are keen to cash in now rather than wait to see if the full $5.75 cash materialises - which depends on how many OTW shareholders opt for a cash transaction.

I've also been selling, and a bit reluctantly because of the anticipated 40% jump in EBITDA for OTW in FY22. Yet it looks this deal is fait accompli. It's been a game of patience as an OTW shareholder in recent years as organic growth has stalled, and it has been OTW's own acquisition strategy (in my mind) that has been the main driver of its success in growing earnings since listing. I admit that as a holder in MNF I have more confidence in that company's management and strategy in the sector.

As far as ABB is concerned they seem competent enough from what I can tell and I can clearly see a rationale for the takeover. However a lack of a long term record as a listed company and taking on a debt profile as part of the OTW transaction makes me somewhat wary of becoming an ABB shareholder. Additionally, the target company shareholders quite often turn out to be the main beneficiary of these deals - but time will ultimately tell for this one!