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  5. NBLY: Hi, Happy New Year. [Neighbourly Pharmacy Inc.]
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Investment Q&A

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Q: Hi,
Happy New Year. Any opinion on when shareholders should expect an update from Persistence Capital Partner on the latest offer? Is there a guideline that companies are required to follow, provide update etc . I believe the old offer was to close in January and the SP continues to drift on no news.
Thanks,
Kerri
Asked by KERRI on January 05, 2024
5i Research Answer:

The transaction committee and the board of directors of the company will now be considering the revised proposal with the assistance of its financial and legal advisors. There is no set timetable regarding the review of the new proposal, and we will not hear public comments until the committee has approved or concluded its review. 

In general, proposals are likely to be reviewed by a committee or the board within weeks or months. If it is accepted, shareholders are notified. The proposal then must be approved by a vote of shareholders, and then regulatory approval is required. 

The lowered price might be a sticking point for NBLY's board of directors, but we feel the board has to weigh the option of where the stock might trade if the deal does not go through. There is uncertainty about the deal, but we feel more optimistic that it will go through than not, but there is always the possibility that the board declines the new offer.