RE: Sale1 Aug 2023 15:23
Lenoman, 13:27, you are either misunderstanding, or pretending to misunderstand, multiple issues.
for example, if the interested party has already completed their due diligence, then that is *not* an ongoing cost they have to keep incurring just by still being ‘at a table’ (again, a completely undefined term … doesn’t necessarily mean that there are any regular meetings, discussions, or anything else at all.).
the ‘interested party’ wouldn’t have to keep paying for a new DD to be done every few weeks. (sure, if they ever do get close to dealing, they might then have to freshen up their DD, but until then it’s not recurring, week on week, month on month cost.)
it is perfectly possible as you suggest that EUA has told the ‘interested party’, and others too, that there is some kind of minimum price that EUA is prepared to consider for their assets. but that of course wouldn’t oblige the interested party to pay that, and the interested party might simply say, sorry that we’re such a long way apart on price, but we do still remain interested at our original indicated price if you change your mind one day.
IP: “tell you what, i’ll make you a proposal: i’ll offer you 0.25p a share for the lot, if you thrown in that new teasmaid in the workers’ canteen.”
EUA: “don’t be silly, it’s worth at least 100p, my mate zak said so after all. c’mon, since we’re mates, and i want to get a deal done, how about 50p?”
IP: “nah, we’re not even close.”
EUA: “we’re not even going to entertain bids for less that 25p.”
IP: “fair enough, your funeral. no deal then, but if you do change your mind, i’d still be interested for 0.25. please feel free to come back to me if you want to take that up.”
—> that (hypothetical) scenario would mean, interested party still notionally ‘at the table’, with ongoing interest if the price was right. but not offering anywhere near the kind of level EUA shareholders have been hoping for, and EUA BoD wanting to hold on for something else…. interested party, check, due diligence, check, still at the table, check, no deal, check, no visibility on when a deal might happen, check.
it’s not that complicated. all i’m suggesting, is that EUA have not managed to sell simply because they just can’t get a bid anywhere near the level they’ve encouraged pis to hope for. they may indeed have someone around who is interested in buying, but only at a price a long below what EUA want to ask. that’s just my opinion, but it fits the available facts.
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