I dont think Arrow are in best position to place another bid. They would have to do it via cash increase because as many has stated a scrip increase could hurt their own SP hence there is no point to explore this option.
A cash increase will put them under pressure to meet obligations of their international and domestic expansion. If BG did pull out after they put through an increased cash offer they could be in a spot of bother. Its too much of a gamble to throw in a cash increase just to hope that BG come through with another bid.
Arrow are out of options hence the delay with another offer. They are more than likely in heavy discussions behind closed doors with Shell at this very moment. It will be interesting to see what transpires.
AOE Price at posting:
$2.48 Sentiment: LT Buy Disclosure: Held
