Q: What if anything is to be made of the recent Zug, Switzerland-based Pala Asset Limited investment/collaboration agreement with Sherrit?
5i Research Answer:
It is net positive, but not overly material. Essentially, PALA gets capped at a 9.99% ownership level for one year, and the size of the board is limited until a new CEO is appointed. It removes the uncertainty of a costly proxy fight, but is not likely to be overly significant.