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Biotech / Medical : Biotech Valuation -- Ignore unavailable to you. Want to Upgrade?

To: Robohogs who wrote (26543)	4/5/2008 1:24:45 AM
From: Ian@SI	Read Replies (1) \| Respond to of 52153

Jon, BCE and Teacher's both state that the deal will close. practically every day. Ed Clark (CEO of TD, Teacher's lead bank), this week said the deal will close. Teacher's lead investment banker BMO, Nesbitt Burns also said this week they expect the deal to close by the end of this Q. There's a $1B breakup in the event of a major adverse event (which is very tightly defined). Otherwise, there's no provision for the a breakup. Goldman Sachs did the financing contracts with the banks who've guaranteed to provide the loans. They dis so fully expecting the current liquidity issues. There are no options for the banks but to honour the contracts or get sued. Even if they try to renege, Teacher's is still on the hook to close. Should one or more of these banks attempt to renege, I'd guess it's going to cost them much more than just reputation. It's going to cost them bigger bucks than they'd lose (on their books for the short term) by closing their piece of the financing. All the same, I've a relatively small position which I haven't added to even though there's almost $7 on the table.