game on

Now that deal with Itochu is in place I think it's game on !!!

According to Burnett's colleague, AGS is in continuous discussions with H/Q.

My take on the litigation is that AGS have a strong case and if it goes all the way may indeed end up with 100% of B4M, however H/Q could drag this out for years...so the smart move would be to negotiate an outcome that both parties can live with.

I feel that H/Q might be open to accepting a decent monetary payout to settle sooner rather than later. Based on this train of thought, it would be good outcome for H/Q because they didn't do much for their 75% share of B4M in the first instance and litigation is resolved. (Potentially avoids an adverse judgement).

In my opinion this also explains Itochu's involvement...

Itochu stumps up the money to provide such a payment to get rid of H/Q and the new JV - AGS(60%)& Itochu(40%) kicks in.

AGS is happy, we end up with 60%
Itochu is happy they end up with 40% of a world class asset.

Finally, all of this needs to be done in a timely manner otherwise there is no benefit to AGS and they might as well go all the way with the litigation. So things could move quite fast now that the deal with Itochu has been approved by shareholders.

I also wouldn't be surprised if the deal included acquisition of H/Q existing processing facility.

Hence...game on !!!