Yes correct.
Plus a new share in arrow international.
The offer is $4.45 + shares in arrow international.
Depending what the new shares are worth the offer looks interesting and should be valued at higher then $4.50.
Whoa ......long time no see chops ......... there was rumour going round that you been abducted by a pair of swedish nympho,s that tied you up and wore out all your assets .......
nice to see ya
There really isn't much being priced in for further offers or the value of the new shares. If I didn't already have heaps of Arrow, I would be buying more. There is obviously a risk of the deal falling apart... but to me this sets an absolute base line for any future t/o, or minumum worth.
I can't see most shareholders accepting this deal.
I certainly wont. It will be worth a lot lot more than this deal is in 5-6 years at the most. And with the amount that I hold, and the length I've already held these for, as most know here, I can see absolutely no point in selling at this level.
I think it would be a massive travesty, and would be another huge foreign investment regret for Australia if it was to be sold at this price. It would mean Queensland effectively has very little Australian owned energy reserves, or future potential for Australian owned energy reserves in the region.
It would mean Queensland effectively has very little Australian owned energy reserves, or future potential for Australian owned energy reserves in the region.
I won't accept at that price, AOE would be worth double that once the LNG plant is in production.
I can't see any other company making a rival bid when shell has a 30% stake. The only hope is for a vast number of share holders to reject the offer and maybe a higher price would be offered.
I think I would rather have an all cash offer made, The Arrow international assets are a bit of a rag bag of unproven assets,
Australia would still benefit from taxes and royalties from the operations, not to mention employement of staff and contractors in all the suporting industries.
Foreign ownership doesn't really bother me if the price is right.
It adds absolutely zero benefit to the economy though. There may even be ways a foreign company can pay less taxes than an Australian one would.
Whether a company is Australian or foreign owned has little impact on employment. Probably slightly negative as more of the positions of higher authority would be flown in.
The biggest difference would be in a greater amount of money from operating profits staying in Australia, throughout the chain if the company remained Australian owned.
It always worries me when a foreign company buys up the best assets of an area, no matter what country, in what region or for what purpose. And there always has to be a premium paid for that loss of sovereignty the country has.
QLD would still benefit greatly as staff income taxes, royalties and company taxes from both aoe operations and supporting companies flow through the entire qld economy via government wages ( teachers, police, soldiers etc.etc) and other government spending.
We can't have it both ways, We can't have the likes of BHP and RIO mining the world and not have our doors open.
Plenty of aussie companies with large foreign investments.
I'm not sure about the "stronger loyalty to home" bit.
Without govt direction/intervention, admittedly not to be ruled out completely, companies will always sell their goods into the market offering the best return. That may or may not be to the benefit of "home".
QLD would still benefit greatly as staff income taxes, royalties and company taxes from both aoe operations and supporting companies flow through the entire qld economy via government wages ( teachers, police, soldiers etc.etc) and other government spending.
We can't have it both ways, We can't have the likes of BHP and RIO mining the world and not have our doors open.
Plenty of aussie companies with large foreign investments.
Despite this, I think we both agree that it is an opportunistic grab on a dip over funding concerns, and the offer from what we gather really only values the company on its current assets, and does not even come close to factoring in future worth.
There really isn't much being priced in for further offers or the value of the new shares. If I didn't already have heaps of Arrow, I would be buying more. There is obviously a risk of the deal falling apart... but to me this sets an absolute base line for any future t/o, or minumum worth.
I can't see most shareholders accepting this deal.
I certainly wont. It will be worth a lot lot more than this deal is in 5-6 years at the most. And with the amount that I hold, and the length I've already held these for, as most know here, I can see absolutely no point in selling at this level.
And in more recent times WA industry has been in crisis, and increasingly uncompetitive internationally, as gas prices soar...For example, in the 90s, Richard Court agreed to lobby strongly, and very successfully on behalf of Woodside for sale of LNG to the Japanese.
In return, Woodside gladly supplied cheap gas to WA on a long term contract.
It's much easier to gain control over Australian companies in a regulatory manner than it is multi-nationals because of various international agreements.
Chops, I am so glad to see you back here. Agree with your sentiment too. Far too cheap.
While I have your attention, I must thank you for steering me into csg in the early days. It was your initial research that directed many here on ASF to go for the minnows which became billion dollar takeovers. Thank you.
And in more recent times WA industry has been in crisis, and increasingly uncompetitive internationally, as gas prices soar...
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