Q: Can you comment on what is going on with the CVE takeover offer, and why there was a last-minute delay that took place yesterday? Was it delayed because there was not enough support? Although I had voted in support of CVE takeover when SCR was also bidding, now that SCR is out, if the vote is close, I would probably vote against CVE so MEG could continue on its own. Any thoughts? Thanks.
5i Research Answer:
All indicators point to this as a regulatory issue, relating to the side deal (aka a bribe) that CVE did with SCR in order to secure their support (asset sales). We think the takeover will proceed as is, with perhaps some changes made to this particular asset sale to SCR.