Ann: S&P DJI Announces March 2021 Quarterly Rebalance, page-131

thanks for your point of view on the sale process.......

To points :

1 - A quasi auction process could be instituted where suitors need to come back with bids (binding or non binding??) by a certain date following provision of metrics(maybe 1-3months??).

As per DM comments at the AGM, I think that they have some kind of agreement - even out of the JDA confidentiality provisions - not to share the metrics before WDC says that they can do it.
Nothing sure about it but it would be logical if WDC is building its own product to be announced to the market soon. This would also explain the very strong words used by DM about not letting anyone comming close to the metrics.


2 - The interesting part here is how 4DS controls the bidding process and ensures that there is no unwanted share activity that could disrupt the process.

This problem doesn't arise if you have a private auction to sell the technology.
Nobody will know about it and the share price changes will have little effect on the auction (except if it goes out of the roof...).
An open takeover seems too risky for people like 4DS management.

But I agree, this private auction hypothesis doesn't fit with the impression we have that the share price is somewhat under control at the moment.


In fact, a quasi auction process seems the ordinary way of selling a company through a takeover process.

First you have secret contacts with potential bidders. Then you work on an agreement with the highest bidder and finaly you have a few meetings with ASIC explaining that you have fullfiled the competition requirements through an auction process an that they must accept the bidder takeover.
Imo that's why there are so few conter offers during takeovers.

So maybe you are right and we could finally have a takeover.
But I found the process a bit messy and difficult par 4DS management. They will have to come here in Australia to discuss legal maters with the Takeover Panel and ASIC (I don't think Guido Arnout ever made the tripp).

A private auction is much more easy to organise. They can invite potential clents to San Jose to test the tech. Most of them are neigbours.