Originally posted by eshmun
Wrong.
There is a difference between taking a placement in a company and trying to take a company over. A takeover needs to price the company at a level capable of gaining control, ie it needs to have a built-in control premium. Something RMS didn’t do their due diligence on when pitching their initial offer.
You are either quite inexperienced or you are deliberately trying to build up expections so you can try and dash them later with the deceptive argument you are currently laying the ground work for. I favour the latter to be true.
A placement at the current price or even a slight premium or slight discount is still a win for EXU as it forces RMS to re-evaluate their offer and it gives the company working capital to continue its activities.
And for someone who supposedly prides themselves on providing accurate information, based on RMS’s closing price on Friday of 43.5 cents the bid is “worth” 10.875 cents not 12 cents as you wrongly claim. Also going by the Friday intra-day trading low of 42.5 cents and high of 44 cents the bid is currently fluctuating between 10.625 cents and 11 cents.
I’d say a placement anywhere between 10.5 cents and 11.5 cents will be a win for shareholders as the company will have managed to raise at a price leveraged off the RMS bid. Esh
I'll get out the crayons and explain it you so you can fully understand.
EXU holders are up in arms saying they aren't going to give away the project for an insulting price of 12c. EXU management also state in very ambiguous and generalised terms that EXU is undervalued. So why would you be expecting that they would give away 10% of the project or more for "pennies on the dollar"? Are you expecting a fair and reasonable price that fully reflects the value of 10% of the project?
Now you and others are unanimous in stating that no offer should be expected before Mace results are received. Why give away the project while not all results are on the table you say? Yet Mace results have not been received and it looks likely that part of the company will be given away before we see them.
You can argue with what i've written, but their you're points that you have posted previously so you'll essentially be arguing with yourself. Which actually might be quite entertaining.
