Ann: Clough and Forge create long term strategic , page-12

re: Ann: Clough and Forge create long term st... I think selling is a poor idea right now, the floor is set and it will be a good takeover play.

My question is surely the directors would have known holders value it higher than 2.10 so why would they sell? The response on this forum is overwhelming NO to the $2.10 sell off, I think the directors and there advisors would have forseen this.

One scenario is the terms from CLO were made and in order to get the alliance done they wanted x amount of shares, the consortium of bigegr holders know the value of this deal so they effectively jump on the sword, sell half at 50% and ensure the strategic alliance goes ahead to boost future growth. On top of that they issued enough via a placement to give them a total guaranteed to satisfy CLO even though cash was not a neccessity.

FGE and CLO are also in competing markets in many areas, CLO order book is $1.3 bill, perhpas we are not recognising that now FGE may pick up the majority of construction contracts that flow form CLO's engineering work, it could be very positive.

CLO have most likely told FGE they intend to acquire 100% in the medium term, I cant see any other reason why they would take a steak like this otherwise. This is great for holders as we can sit tight and let them bid the price up in order to get our shares.

Agree we need more clarity from the company and explanation however and hopefully we get this in the next few days.