re: is it up down or around ... kpool MM,If you have ever been...

re: is it up down or around ... kpool MM,

If you have ever been even peripherally associated with deals, even of lesser magnitude, you would be used to having to adopt a patient countenance as there are procedures that must be carried out that appear interminable. Not just due process between involved entities but including public instrumentalities and funding bodies. This deal is worth about AU$1 B and will be concluded when all such processes have been exhausted.

Many thought the early announcement from Platinum was all there was. In fact it was just the beginning. As you say, Platinum would not even want TFS as a stand alone entity, certainly not without a high tech future supplied by Intevia. It is my belief that the TZ lawyers would not have allowed the license to be on-sold for purely protective reasons. Having purchased TFS, Platinum would have been involved in separate negotiations, in advance of the agreement with TXT, with TZL. No TZL, no point in buying TFS other than as a conduit for reorginizing an inefficient outfit comprising too many disparate parts. If Platinum need Intevia then a side deal should have been negotiated in which Platinum get what they need along with TZ getting what they need and that is TZ get the infrastructure support they wanted from TFS by jointly purchasing TFS and simultaneously Platinum get Intevia access as they are then joint venture partners. This would necessitate TZ buying into TFS, perhaps 15-20% and Platinum will either share the Intevia spoils in some manner dependent on how much of the license they have been awarded in the deal.

I also anticipate that Platinum will facilitate the NASDAQ listing of TZL as it is in Platinum's interest to bed down a rapidly advancing facility to expand the reach of the technology. As part of a float I expect Platinum will be allocated rights to a sizeable number of the new shares, perhaps 20-25%. We would all win in this scenario. Those of us who wish to, will be able to keep our shares, exchanged into the new entity, at considerable mark up while those others who wish to will be bought out at the delisting (after all why would they dual list on the ASX - look at the pathetic market here).

An announcement from Platinum should be forthcoming in the next days/weeks and will be accompanied by one from TZL, once they are legally permitted to speak. Imagine how frustrated they must be. I do not believe for a moment that TZ will just float along. Of course it may still take many months to arrange a float but I also expect that all the funding arrangements, including underwriters, will be organized already. I heard whispers months ago that GS and ML were lined up with tongues hanging out at the prospect. We shall all soon see. As demand for the shares at the float will be high due to demand from large players taking sizeable chunks, demand for TZ shares will remain high (after all the majority are held by only 20 separate holders and it is in their interest to maximise that demand).