is a linc share really being valued at $4.03?

"Consideration for the US$50 million transaction will be entirely in Linc Energy scrip with LNC shares issued at AU$4.03 – representing greater than a 60% premium to current market price."

Wouldn't I be a bit naive to assume that the deal went something like this . . ?

Linc says, "We want to buy your company, how much do you want?"
They say,"$60m, and not a dollar less"
Linc then bargains them down to $50m.
Linc says, "So that's $50m, but we'll pay you in shares, not cash, and the shares will be priced at $4.05, which is a 60% premium to the local market price.
Oh, ok they say, sounds fine to us, since you're getting $1.5B from the Chinese soon, and being such a great company and all.

Isn't it more likely to have been something like this . .?

Linc says, We want to buy your company. We've valued it, looked at the market you're in, and know that you'd jump at $20m cash, so we'll offer you say $30m in LNC scrip at today's low price. But since we want to protect the perception of our share price, we'll actually offer you $50m in scrip at a notional value of a 60% premium to the prevailing price.

I haven't bothered to do the arithmetic to see if those numbers work out, but the basic idea is there. So the perception that some company is accepting a valuation of LNC at $4.05 a share, or that this implies any confidence by them in the Xinwen deal continuing to completion might be an illusion.