Why are we selling Zenith for 80 cents a share

Out shopping today... and it HIT ME like a tonne of bricks. Just jumped into my head. We are selling Zenith for 80 cents a share!!!

There are retained earnings to date of about 14 to 15 cents per share. WE OWN THAT. WE EARNED THAT. And not included yet in that is the 6 to 7 cents eps for this year. Let us not even talk re the franking credits.

So the wonderful $1.01 offer is actually 80 cents. PEP is being gifted the retained earnings in the $1.01 price. Hence the 'offer' from directors of 88 cents plus 13 cents of the retained earnings to date. So even management clearly say they are selling all future earnings of Zenith for 80 cents a share (88 cents less the 7 or so for this year).

If shareholders retain ownership of their shares they retain ownership of 20+ cents of earnings (after tax) to date.

Now you tell me.... if someone offered you in on the ground floor of a company like Zenith for 80 cents (no earnings, but contracts and PP&E and management and operations and staff and IP already in place), what do you say? Well, you would run your eye over contracts and earnings and expected earnings over the next year or three. Well, forgetting about any new contracts that may come along, you can see the contracts in place will earn you about 8 cents per share over the mid term. In fact, with no new contracts, then management cannot pay themselves their $2 mill yearly BONUSES, so in fact, the BOTTOM for Zenith right NOW is 10 cents eps after this year.

So, would you buy into Zenith's future, right now, for 80 cents a share. You will earn 10% to 12% after tax on your investment PLUS extra tax credits and you own PP&E with a value around 60 cents (even after it was over depreciated DOWN to 60 cents).

It just dawned on me today. PEP is offering to buy the cash I already have in my pocket (20 cents) along with all my assets (60 cents) for $1.01. They are offering me 20 cents per share for the entirely of Zenith projects and future and future earnings.

Do the directors and board members actually not know this? They likely DO. PEP sure do!!!

Am I wrong? What is going on?