Just received a phone call asking which way I intend to vote. I told the woman I hadn't decided yet. She then went on to read the Scheme Arrangement details to me, then asked how I intended ro vote. Told her I fully understand the Scheme details but still deciding. She then told me the directors fully support the deal and will vote for it.
Considering the directors were involved in setting up the merger, of course they are in favour of it, especially as they stand to get over $3m in SBM shares for the outstanding BDC performance rights. The vesting conditions of those rights would've been almost impossible to hit if BDC was to still exist. By merging, the rights get converted into BDC shares and then into SBM shares at the same ratio as other BDC shares. A big incentive for the deal to go through.
With the current price of gold, 3moz must be worth more than $50 poz in-ground value imo. I'm inclined to vote no and let BDC continue looking for a better deal, but will make my mind up closer to the vote date.
BDC Price at posting:
53.8¢ Sentiment: None Disclosure: Held
