guys - relax. there is ZERO chance this deal gets done at $7. Allan Grey is already in the AFR shitting on the deal. that means every other large shareholder will vote against too (since AG is basically kingmaker here). Allegro now knows this, as does the market. i am actively buying stock, today, at 7.45, and think this is a great price...and every share that trades north of $7 is a no vote to the Allegro deal. 450k shs have already traded north of $7 (~3% of the company) and this number continues to rise...
consider - Allegro is a purely financial buyer. they see this as an asset strip/juice/relist/sell type trade in a few years. as others on the board have pointed out, the case speaks for itself. this is a small company, and there are tons of PE shops that could rustle up 50-100mm to take this thing out (the takeout EV here is basically $50mm, ie pocket change).
i would not be surprised to see 1) a deal bump when the DD period ends, eg puts a binding offer on the table at $8+ to try to get AG etc on board; and/or 2) another financial buyer lob an indicative overbid to shake things up.
i would personally be shocked if this deal gets done w a single digit stock price...
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