1 Based on my reading, MSMN had more than 10 million Meo shares prior to 8 May. MSMN's 14 May bidders statement indicated that they had a 2.162% voting power in Meo (given acceptances up to 12 May). I think Meo have about 750 million shares on issue so would indicate MSMN had around 15 million Meo shares at that time.
2. For the period 8 May to 12 June their biggest acceptance was the Meo Shareholder who sold his 5 million Meo shares (equivalent 1 million MSMN shares) back in mid May. Yesterday’s statement from MSMN said that they will be issuing 3,057,155 new Ordinary MSMN shares to Meo holders who accepted the MSMN’s Offer on or before 2 June 2015. A second tranche of Takeover shares will be issued subsequent to the offer closing on 12 June 2015.
3. If my reading of 1 and 2 are correct in fact they haven’t really gained anything to date by extending the offer to 12 June – they actually lost some MEO shareholders who accepted the bid prior to 8 May and didn’t gain that many more Meo shares by extending the offer post 8 May. In fact overall there voting power in relation to yesterday's notice was 2.047%, which is lower than there voting power at 14 May 2015, so appears negative acceptances thereafter
4. In totality, total disaster for MSMN however they look at this pathetic orchestrated takeover attempt – absolute amateurs. If point 2 – the 5 million share seller to MSMN - didn’t occur MSMN could have actually gone backwards by extending offer to June 12. Doubt there will be any more substantial Meo takers by 12 June. Meo shareholder base is made of mainly small shareholders, i.e. top 20 Meo holders own less than 25% of Meo stock. So small shareholders with 100,000 Meo shares or less (which is worth $1700 at yesterday’s Meo closing price) I believe won’t sell to MSMN given the costs to these shareholders of needing to deal on the AIM.
5. On the MSMN BB they are saying such a small Meo shareholding could still give MSMN control – absolute dreamers they are and totally unknowledgeable. MSMN don’t realise that the Meo BOD would most likely recommend to shareholders a no vote in the event MSMN wanted a seat on Meo BOD. Absolute clowns MSMN are.
6. I believe MSMN will sell their Meo stake at some point, but might not be end June. Just my opinion here..
7. I note on the MSMN BB they are talking about Kea now – presume they want Kea’s stake so hopefully won’t happen as Meo will still need to deal with these clowns in that JV if MSMN succeeded. Anyway doubt that will happen because where are MSMN going to get the funds to get a stake in Kea (given Kea is not trading on the AIM right now as suspended so MSMN can’t get a stake in Kea through a script offer I guess) ). I just wonder whether Rex, or someone else, has had a look at the Shannon prospect in NZ – Meo BOD get cracking in my opinion??
MEO Price at posting:
1.7¢ Sentiment: Hold Disclosure: Held
