AGT....might go "Private"

[farmaholic]

https://www.newswire.ca/news-releases/agt-food-and-ingredients-announces-receipt-of-a-proposal-to-effect-a-management-buyout-689235641.html https://www.newswire.ca/news-releases/agt-food-and-ingredients-announces-receipt-of-a-proposal-to-effect-a-management-buyout-689235641.html

At the last Rider game at the new Mosaic stadium, I saw bucket in the AGT lounge sipping cocktails while sitting beside al Katib....Murad and bucket looked like they were on a first name basis...

No, but really, what is this all about? I wonder where all the money is coming from for this "Privatization"....a move away from a publicly traded Company.

[farmaholic]

Look where the share price went after the announcement. The 37% "premium" evaporated!

[farmaholic]

319.9 million $ market capitalization
24.237 million Shares outstanding
19.918 million Shares floating

Is this an attempt to bolster market capitalization to improve "ratios"?

[HappyFarmer]

319.9 million $ market capitalization
24.237 million Shares outstanding
19.918 million Shares floating

Is this an attempt to bolster market capitalization to improve "ratios"?

This has been rolling around in my head for a day and I can't figure it out. The only thing I can think of is they are so bulled up long term about the direction of this company than now is the best time to buy those shares back to go private. Given the pulse situation one would have to think near term they are more trouble than good...who knows.

[farmaholic]

Parsley was poking around
Weber has a bit in his newsletter

There has been losses and other negative press about AGT.

[the big wheel]

I d lik to know who's money is being used in this whole outfit. How much government money has gone into this thing?

[bucket]

I d lik to know who's money is being used in this whole outfit. How much government money has gone into this thing?

LOTS.....

[bucket]

https://www.newswire.ca/news-releases/agt-food-and-ingredients-announces-receipt-of-a-proposal-to-effect-a-management-buyout-689235641.html https://www.newswire.ca/news-releases/agt-food-and-ingredients-announces-receipt-of-a-proposal-to-effect-a-management-buyout-689235641.html

At the last Rider game at the new Mosaic stadium, I saw bucket in the AGT lounge sipping cocktails while sitting beside al Katib....Murad and bucket looked like they were on a first name basis...

No, but really, what is this all about? I wonder where all the money is coming from for this "Privatization"....a move away from a publicly traded Company.

I don't know the guy but if I did sit beside him I would be scared he would eat me.....see the size of that guy?

[bucket]

Another member of the family tea by taking it private??????

[Kraut]

Depends who is driving the bus. Fairfax won't want this to stay private for too long. Prem Watsa did some things with BBerry awhile ago that could apply to this case as well. Fairfax and Point North own 10.5% and with options they still retain on convertible debt for up to close to triple what they already have. That would be approaching 50% with management 17% share. Unfortunately the 50% of other shareholders are the big losers unless they have held since day 1. Most will be quite upside down at $18 or even $20 if they are fishing for a better offer.
Privatize it, take average shareholder to the cleaner though it stems the bleeding shareprice under $15, wait for the cycle to rebound and they will be floating an IPO in a few years, perhaps a different name or structure somewhat, but that's only way Fairfax gets their $. And as always government invested $'s are sold for cents on the dollar (Spudco, Petro Can, Skydome, Sask Hwys, etc....)

[bucket]

Looks like some investor groups smell a rat on this deal....

[Ache4Acres]

As a private corp they don’t need to let anyone scrutinize the financials...keep charade going and the govt money flowing.

[SASKFARMER3]

Gov money will flow and then the purchase of a rail line up north will happen.

It’s a slight of the hand magic show

[jamesb]

As a farmer I invest in farm land and don't spend a lot of time on investments in stocks. I do find this summers discussion about AGT's future kind of odd. As a grower we have for the most part had very good dealings with AGT in selling lentils. I hope to see them around for the future. It was of interest to me when a link to an investment web site article was discussed on Agriville. The article was pretty damming of AGT's future. I kinda wondered why the writer didn't use his or hers real name? Auger Analyst ? My take away was the writer felt it was game over for AGT. Lot of posters felt yes this was the case. Western producer article interviewing Murad discounted this thinking strongly. Now the new story in the news with them offering share buybacks. Auger Analyst must be happy to get out of AGT now. Outfits like the big investor Fairfax were probably very involved in this plan and it probably wasn't a surprise. Do I read it correctly that many in Sask love to see the big guys go down whether business or farm?

[bucket]

Jamesb

As mentioned earlier there are some big shareholders in AGT that are not to keen on this latest development.