For what it's worth, as a Polartechnics shareholder I've been aware of this potential merger for several weeks now, and whilst we obviously weren't given many details, we were told that they were talking about Polartechnics being bought, not the other way around.
It appears to be effectively a 50/50 merger, where it may well have been arbitrary who took over whom, and somewhere in the negotiations they must have figured it would work out better the other way.
I don't think it's the death of either Fermiscan or Polartechnics, as neither company is swallowing the other up. Even the fact that there is no CEO at this stage ... they are talking about two executive directors ... indicates there is no particular dominance from either side. Mind you, I don't think that will work for too long ... sooner or later they'll have to work out who's desk the buck stops at.
In understand (to some extent) the disappointment you feel in the merger happening now, at 18c, when the SP was previously so high. This has also happened to Polartechnics, although possibly in a slightly less dramatic / contrasting way. Heck, event Leightons with $30 Billion in forward orders has come down to a third of its price, at one stage it was a quarter! The point being that we couldn't believe it when the price came down to 40c, never mind 20c, 10c, even as low as 6c at one stage. We don't consider 13c to be fair value, as you don't consider 18c.
In fact, we don't know on what basis the scrip to scrip ratio was factored on. It wouldn't have been just relative SP's & market capitalisation. Both companies have considerable blue-sky ahead of them ... expected future revenues and timelines would have had to be factored in, amongst other things.
We (PLT holders) were waiting with fingers crossed that the merger announcement would be on a reasonable swap basis (thinking PLT would be bought), and that it would be with another company that had something to offer, given that Polartechnics' value is what is about to transpire (they are sooooooo close to finally breaking even and then making some serious money). As soon as the announcement was made, & I looked into your company, it was total relief ... it seemed a great potential marraige, in that both companies had great blue-sky ahead and it is an obvious fit. What screening do women have to do on a regular basis? Mamograms and Pap Smears. Both of our companies have a better way of doing that, more accurate and with more appealing/comfortable tests than the conventional methods ... it makes so much sense to combine (IMO).
Anyhow, sorry for the rant. I was going to make a couple of simple points, but found I couldn't stop typing.
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As a matter of courtesy, I have kind of bounded into your forum without introduction or invitation, and assumed it's OK to post here. If you'd rather that I (and possibly other PLT'ers) kept to our own thread and left you guys (n gals presumably?) in peace, then please let me/us know.
I figured that if it goes through then we'll probably end up corresponding on the same thread anyway, and came here because I was interested in your take on it. Let me / us know if you'd rather not have my/our perspectives as well. Oh, and independent of that you're all welcome over on the PLT thread of course.
Cheers.
p.s. if wondering what PLT is all about, have a look at recent analyst reports and presentations via:
