Whether the takeover talk is justified or not, is not something I’m gonna comment on.
However, almost everyone that HAS weighed in on the discussion, seems to have little clue about how these things work.
As far as ASX companies and director obligations go, a blocking stake counts for exactly ZERO, as far as the best interests of shareholders go.
The directors fiduciary duties are that they must act in the bests interests of the shareholders at all times.
Someone stated they would not accept a 60% premium on our all time high around 5.6 cents!
WTF? Really?
A 640% premium on our last closing price wouldn’t be good enough for you?
I put it to you that our directors would almost be obliged to accept that. Unless they could reasonably justify why that significantly undervalues the company based on material information that they have which isn’t able to be released publicly at this point.
Tl;dr The takeover speculation is meaningless at this point, however, the directors can’t just arbitrarily “block” offers they receive.
SYT Price at posting:
1.4¢ Sentiment: Buy Disclosure: Held
