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15:44
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Originally posted by packyourbags
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I believe you are right - I'm quite sure it was in the initial acquisition announcement. I know this has been talked about a bit, but personally I place almost zero weight on this comment. This is because I'm quite sure it was stated in order to keep the ASX happy - OOK wanted to avoid a 6 month suspension and already had to convene an EGM in order to change the scope of the business. I think the idea is to acquire an asset like Brontech slowly, in order to dodge the regulatory issues and minimise dilution (presumably the share price will build as the acquisition is slowly acquired). There is nothing stopping OOK from saying now - "well that was our position last year, but now a year has gone by and we need to invest further capital to support our initial investment". It would be difficult for the ASX to argue with that now imo, although in Dec 17 it probably would have been a different story and much more difficult to obtain a larger stake. Only my theory.
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I'm not sure. I can't think of a scenario where it becomes beneficial to both parties to merge. Anyway I'm sure it'll continue to become more and more clear as we go.
