Case Group Plc was chortling yesterday after Gandalf Technologies Inc announced that at the first closing date for its bid for the company, it had acceptances with respect to a derisory 0.14% of the equity: Gandalf says that it is considering its position and will make a statement in a few days, but clearly it will have to come up with a higher offer, and likely have to include an all-cash option if it wants to keep the bid alive – and it’s doubtful it could raise the money, given that on its present terms the combination would come out about 75% geared – a Case Gandalf combination laden down with debt would find life very tough.
