I am just reading this passage in the report for the first time....

I am just reading this passage in the report for the first time. And I don't wan't to give my complete opinion on the deal just yet before I have read everything.

You wrote: "So is the 10% extra value for Allkem exclusively for Allkem? I thought it would have created value for both entities? Why is that 10% only applied to Allkem?"



To answer your question, no the value of the synergies is distributed to both companies in accordance to their ownership stake in the merged company. This table assumes that Allkem gets 56.1 % of the value of the created synergies and this increases the value by 10.4 % or 6.2 % depending on wether you apply Kroll's estimated low or high values for each company. If this is plausible only depends on wether or not you think the low and high value estimates are plausible or not. This table DOES NOT assign all of the value of the synergies to Allkem, only 56.1 %.

This is why I will carefully read everything before giving my definitive opinion on the deal.