This takeover has not been thought out properly, we are being told to accept 7 cents a share but there is no guarantee it will be anything like that.
Strike are raising money at 11.5 cents, its a tall order to see the share price hold the 14 cent mark needed to justify the 7 cents of value for UIL shareholders.
At the 11.5 cents capital raise the implied value for UIL holders is a little over 5.5 cents a share.
How can our directors in good faith pursue a deal that could end up giving holders this result, at this price it does not stack up to the 11 million dollars Strike agreed to spend for a 50% share in a single drill on an adjacent block to us.
Either the directors are playing a long game and hoping to bring someone else to the table or they have simply lost interest.
Right now an all cash bid at 6.5 cents is a better alternative than whats on the table.
J D i thought you were smarter than that.!!
UIL Price at posting:
6.0¢ Sentiment: Buy Disclosure: Held
