Q: Does the takeout offer look reasonable? Interesting to note the price sits below the offer. Do you think the deal will proceed?
5i Research Answer:
Please also see this answer. It is an OK deal, but the premium (14%) is fairly low. The shares are now tied to GFL shares, which declined on the news. The discount to value is about 1%, which is actually fairly low in such cases. We would not put the odds of a third party entering as very high (though more than 0%). We would expect the deal to be approved as is.