Guys if you are all so convinced that this is underhanded and will go through, then surely you should all be throwing the kitchen sink at this and buying at 46-48c? A minimum of 40% right there within 1 month once management recommends the offer. All other shareholders have the opportunity to average down.
I also think that this stinks very badly but that's the way of the world these days. I think the tell tale sign will be if management don't manage to 'negotiate' anything more than pennies on top of 66c.
However the way that ELM tries to condition shareholders that this is a 'good deal' due to it being an increase on the recent price with not consideration to the value of the project, makes my BS alarm ring.
"Having regard to the size of the premium that the Proposal represents when compared to recent share trading prices (for example, the proposed offer price of the Proposal represents a premium of 126% to the volume weighted average price per Elemental share over the past 20 trading days), the Board of Elemental was unanimous in its view that the Proposal ought to be progressed to determine whether it was capable of being put to shareholders in a binding form."
K2P Price at posting:
46.5¢ Sentiment: Buy Disclosure: Held
