Looking at it another way however, SEV has paid the Company $33.506m for its 57%. ($26m in 2006 via placement, $2.886m via rights issue in 2008 and $4.62m for underwriting the shortfall in that rights issue.)
The offer values the whole company at $8.8m (12.710m shares at $0.70c).
Given that the earnings multiples in the Lonergan report cannot get the enterprise value much above 5.7m, plus 1.3m of tax losses, the offer seems to look reasonable.
Especially if you had already paid the Company 36m (which other shareholders have had the benefit from) for 57%.
f111
ENG Price at posting:
68.0¢ Sentiment: None Disclosure: Held
