Comments on Revised Takeover Bid

This post is just my personal review of the increased offer.
It is not a recommendation to do anything - just some observations.
each s/h needs dyor.
we can accept or reject increased offer as we wish.

1. seems to me this is the "do or die" response from FMS Board.
1A. I believe that FMS Board has decided that by recommending increased offer, that it will force a 3rd Party to do a deal, or lose out any chance to get FMS high grade iron ore. ie force their hand.
2. they seem to have decided that as 3rd party deal not executed, a t/o is best option for FMS
3. no mention anywhere, of any other options for FMS
4. clearly FMS has only limited cash, if Todd goes away, or 3rd party deal does not eventuate, then FMS will rapidly run out of money - only source is further CRs
5. ** Todd offer is FINAL. they can only increase their offer if FMS receives a Competing Proposal which is Superior Proposal. Note: this is final, because Todd cannot by law increase price except under Superior Proposal.
6. *** FMS must Cease negotiations in relation to current proposals with 3rd Parties - and it must not enter into any further discussions with anyone else!
7. Offer extended until 6 June 2016
8. FMS has to hand over all documents re 3rd party proposals - so Todd gets inside info.
9. these conditions are onerous - they absolutely hog-tie FMS
10. almost certainly OCJ will not find this increased offer attractive
11. confirms to me that all Todd wants is to get enough shares to control board.
12 Once Todd get control (which imho is only 40%+) they will let Offer close, and deal with left over shares (incl OCJ) at a later date.
13.Appears to confirm that Todd is not going after Arrium at expense of FMS
14 Note: by law FMS Board must consider any Superior Proposal it receives, Bid docs confirm that.
15. Note: does NOT stop a 3rd Party from still coming up with a Proposal. So a 3rd APrty can come back and accept a proposal already lodged by FMS.