opinion on sell or hold over takeover action

Small article in the Australian regarding CIL takeover & what should holders do.

Sell on market and gain substantially above $2

or

Accept $2 offer and have the rights to $90m GST refund claim.

As ATO did not appeal a similar case involving Sportsbet, which the ATO lost.

87.7m shares = $1.02 a share
takeover terms is less $10m then holders get 90% of $80m

So possible 82c a share.

Catch is the $80m will be applied as a credit on CIL's GST commitments and spread over a period.

Likely to be 8 to 10 yrs depending on how they employ the rebate.

they said 23c now is fair enough but patient approach will reap higher rewards