We've all been waiting for this for two years now! ever since the whole CSG sector started bubbling, AOE's assets have just gone by without great temptation from bidders. It's good to see Shell recognise the importance of AOE's assets and to their business/global strategy.
I will definitely not relinquish my stake anything below 6.50 and given the weakness of AOE's share price in the last few months because of capital raising concerns, its fair to say Shell is taking advantage of that and throwing in a low ball bid around our previous trading high.
This definitely will not be Shell's final bid, but whether they have the capacity to drive this above and beyond 5.50 is another question. Shell's current stake in Arrow will make it extremely less attractive for other bids to come through. For Shell to sell their stake to another higher bidder just doesn't seem likely, so a second party may not materialise on the dinner table.
AOE Price at posting:
$5.00 Sentiment: Hold Disclosure: Held
