Re: how is going to finish the day21 Feb 2007 14:31
I doubt they'll be much movement left in it today, although you can never tell. Here are my latest comments from ADVFN:
The ZED deal was good for MOB as it gave it the cash injection to sort out the debts and commitments, but not so good for existing shareholders as they had no immediate benefit, the company had just doubled in size and would need to use the extra cash to meet debt. Hence the shares gradually dropped on lack of interest, briefly dipping to below 40p. Long term the ZED deal should have help them recover, but it wasn't a very exciting deal for shareholders. The tentative 65p linktone offer has now solidified somewhat on the news that due dilligence has been completed.
It would make little sense for shareholders to accept the ZED deal at the EGM on Friday, as Linktone made it quite clear that they would only bid for MOB if the deal was rejected. However I can't see ZED doing much before Friday, as there is a slim chance that they could still win the vote (supported by long term holders who see more than the 65-67p value in the share offered by Linktone). Assuming we have a rejection then I think we might well see a 60p share price. Whether it goes higher depends on both ZED and Linktone. If ZED are serious about MOB and have the funding, they might come back with a counter offer, perhaps 65-70p. If that does happen then we have a good hike in the share price and us shareholders will be very happy.
Despite the moderate risk of it all going pear shaped,