Will have to see the substantial holder notices. They should be out within 2 days of a change from my understanding.
Will be interesting to see if this is all Ptolemy or another party also.
The thing is, I can't see why Ptolemy has a reason to "take over" the company. Its not like they are integrating it with another business or breaking it up. It makes more sense that they would simply want a really big bite of the apple and then (having got a meaningful steak), improve the value before on selling. They do not have to get 100% control to do this and its much cheaper to get the first 30% than the last 30%.
Their website states the following: "Historically, we have invested in a rich mix of both minority and control investments, principally in the U.S., with Freestyle's investment ranging from $1 to $30 million."
This scenario will benefit all holders.
A number of years ago I spoke to Dan Lanskey who bemoaned the ASX. He was annoyed at Australian investors undervaluing the stock and selling out for a quick profit. He also saw little benefit in brokers covering the stock because once their commissions dried up the promotion would stop. That lead to the desire to list on the TSX - to widen the pool of long term investors. But what he really wanted was a sophisticated investor who would take a large position in the company through a placement but who would also mop of all those loose shares in the register so AOK would trade at true value.
Ptolemy seems to fit the above very well. I hope all holders will benefit through long term share growth.
But if it is a TO at 22c ....... well..... its a nice problem to have when the SP was 11c not long ago.
AOK Price at posting:
17.5¢ Sentiment: Buy Disclosure: Held
