Whoa someone needs a nice hot cup of horlicks and a nanna nap.
These deals are not like buying a car, things are just a touch more complicated and with a little more cash at stake. Do you really think that the farminee will give MEO an easy ride? This is big $$ business. If I were the farminee I sure as hell would be using everything at my disposal to my advantage, including the Dec 31st deadline. And if the roles were reversed, as a shareholder, I would expect MEO to pull the same stunt.
Chances are the farminee sprung the "we need director approval" at the final hour to try and cut a better deal - If they sprung this earlier MEO would have had plenty of time to redraw terms or seek other options including other farminees. Maybe the farminee was gambling that a CR at this late stage would fail. The CR effectively says to big oil "we'd like to do business with you but if you F*** us around we walk".
As for Jurgen and his fools, they don't have to make a commitment to drill for another 31 days. I rather like that sort of foolishness, after all what's the hurry now? MEO can go it alone if need be.
As Jurgen said you can always sell, that's not arrogance that's just a statement of fact. If you really do believe they are incompetent fools it would be best you sell and take the loss now before these fools bankrupt the company. Then reinvest in a stock with management more to your liking.
MEO Price at posting:
40.5¢ Sentiment: Hold Disclosure: Held
