Just finished reading the Notice of Special Meeting from seek for the buyout. What a sham. Valuation methodology (by Goldman Sachs, the dis financial advisor), tries to extrapolate value of relative holdings based upon a P/E matrix, coming up with the relative percentages of go.com to be given to seek shareholders vs. dis. Reading it was painful (not to mention incredibly boring, but that's the way it's supposed to be so nobody bothers) and uninformative. But the bottom line is clear: Dis beat the crap out of Motro, who obviously believed that seek needed extra muscle to get out of its rut of inet laggard. Dis just outmanuevered Motro at every turn. The rationale behind the terms of the deal are ridiculous and totally unjustifiable. The methodology used to determine value might work for a mature manufacturing company, but not an inet. And the only way out of the deal now is a no vote by seek shareholders.
And, adding insult to injury, the period of time since the announcement of the deal (you remember that period, its when we sunk, and sunk, and sunk) has been lost to development of seek as an independent company or alternative deals. Motro killed this co.
SHG |
