Ann: Non-binding indicative proposal from Svava $0.28 per share, page-5

"Either way they win right? They can simply offload the shares to a higher bidder"

That assumes a higher bidder emerges, and I think the chances of that are slim

And if a higher bid doesn't materialise, Svava kind of have to proceed to making a formal offer of 28c.

Because if they don't then they would find themselves in the invidious choice of either:

1.) accepting the Bell Potter bid (and losing $300,000 just on the 10m shares they bought Graham Newman, plus whatever other shares they bought at prices above 25c,

or

2.) blocking the Bell Potter takeover, which would result in the share price being back at a level with "1" as the first significant figure.

Seems like a rookie strategy to me, which has left them painted into a corner somewhat. A corporate finance adviser with just a limited experience would have told them to enter into a call option agreement over stock at 28c; that way they would have far more flexibility and negligible capital-at-risk

.