Takeover, page-38

Whilst I have only been a shareholder for a few short months with an average buy price at 60.7 cents, one may think this 80 cent takeover offer may look attractive, but my thesis on investing in IFN was that my purchase price represented value and that I believe to true value of IFN may be well north of 80 cents.
The first thing I will say is that the government has made it clear that they will protect Australian listed companies from opportunistic takeover offers during the pandemic and the company making this offer may have put their foot in their mouth by admitting that the reason for their offer at 80 cents is in part due to the debt on IFN's books, and the government may read that their intention is to take advantage of a company with debt in a particularly difficult period economic wise. So in my opinion approval for this takeover may be more difficult due specifically to this pandemic.
Secondly if approved they then need to convince the board and the larger shareholders of their generosity in offering 80 cents. I dont know enough about our larger holders to determine if an 80 cent bid would be attractive, but I sort of get the feeling the board may have the view that the bid is under what they consider fair, purely based on the fact that I get a feeling this board is proud of this small energy company and what it has achieved and I sense this pride also permeates through the psyche of longer term holders as well.
So with these two obvious hurdles maybe looming too large to overcome at an 80 cent bid price, what may happen next.
Perhaps they will withdraw their offer and the share price may revert back to the 60 cent range. If that's the case then those taking the 80.5 cents on offer today may look like a genius.
Or they may up their offer to convince the government, the board and all shareholders that they are not acting in an opportune manner. So those selling today may miss out on further potential gains whilst those that are patient may see an offer that is more palatable.
My gut feel is that $1.00 is the bare minimum that most long term holders would consider as palatable and some would think the company based on EBITDA metrics is worth even more. A person in my position who invested based on value would probably be happy with a 66% increase from buy in price. It will be interesting to see what our board and major shareholders think as I believe they will ultimately determine the appropriate offer price.
Think I will just be patient and wait on further developments at this stage.

Christopher