What about this for a throw at the stumps:
Perseus shares on issue 1,373,563,956. Let’s say they offer 8% of their company = 109,885,116 new shares to be issued.At todays PRU price of $1.80 = $197M.
Removing Perseus from Orecorp shares on issue = 375,996,523.
$197M / 376M shares = 52.6c per ORR share.
Plus 19c cash component x 376M shares = $71.4M.
Cash and scrip = 71.6c implied ORR value (PRU total cost= $268.4M) – doesn’t feel like enough.
Or double the cash component to get Nick/Tim/Fengy onboard.$197M / 376M shares = 52.6c per ORR share.
Plus 38c cash component x 376M shares = $143M.
Cash and scrip = 90.6c implied ORR value (PRU total cost= $340M) – feels too much.
Personally, I think they go 60c SVM offer + 30% = 52.6c scrip + 25.4c cash = 78c (PRU total cost = 292.5M) which feels about right for this type of project. Maybe slightly lower considering they have already spent $45M this week.
71.6c~90.6c range.
