Q: Follow up question
If there is no premium for Teck why would management agree to takeover deal. Can you please give us the details of the deal is there a stock deal or cash and stock
If we consider the special dividend Anglo plans to shareholders prior to closing (which will impact the value of shares received as they will decline post-dividend) the deal is essentially at a 0% premium to TECK shareholders. The market is making the assumption that there will either be another offer or new bidders. Thus, we would hold for now.
Thanks for your advice
If there is no premium for Teck why would management agree to takeover deal. Can you please give us the details of the deal is there a stock deal or cash and stock
If we consider the special dividend Anglo plans to shareholders prior to closing (which will impact the value of shares received as they will decline post-dividend) the deal is essentially at a 0% premium to TECK shareholders. The market is making the assumption that there will either be another offer or new bidders. Thus, we would hold for now.
Thanks for your advice