Quote:
Originally Posted by CT10
yea well if the buyout is going to be around $1.50 (or even $1), it wouldn't make sense for ernesto to be buying in the open market at $1.56 ~ $1.6 like he has in the past few days...
and since ernesto owns over 55% of the shares, as long as he says 'no' to a price lower than what he's been buying at, then the takeover won't happen.
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At the current CUU price, Ernesto's shares are worth about $300+ million. He has spent less than $2 million in buying on the open market, perhaps just to give CUU retailers that confidence they need to push the SP higher. If the takeover doesn't happen, then CUU is done. Ernesto's shares are worthless without a takeover, because he can't sell them on the open market. So for that reason, I fully expect him to accept a low-ball offer. If you were him, having invested just $30 million a couple years ago, which is now worth $300+ million, would you take that and call it a good day? Or would you nickel and dime, dragging out the process and thus risking a collapse in the economy?