AIS is a private company, and although unknown who the owners are, you would have to have thought that the people having a controlling stake have authorized this bid.
Given they are private, they don't have the advantage that MCE has in raising money on market, and I suspect they are willing to 'pay a premium' for that advantage, although the concerns around that is (a) who has assigned a $400m valuation to them, as per my 5 min search, it does not seem like they generate 4-5 times more revenues & EBITDA when compared to MCE, and (b) why do they need to raise money immediately as part of this scheme
It does seem like they get a backdoor public listing and potentially shore up their (cash strapped??) balance sheet while also taking out a competitor (in MCE) who seem to be getting back on their feet after being in the doldrums for a few years.
The upside seems to be there for AIS.....not sure what benefits are there for MCE shareholders........I'll be happy with a 40c cash offer, but that is certainly not on the cards
MCE Price at posting:
24.5¢ Sentiment: None Disclosure: Held
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