TheTarkioTrader
Aug 22, 7:35 PM
$BVC $CVAT $CVI $ROOT.TSX
$RYM The underlying deal is real — it’s in CVAT’s SEC filing — but the “10.8¢ locked in, 270% return” framing leaves out some key details. The offer price isn’t fixed: it’s calculated as Net Price ÷ shares outstanding, and that gets recalculated at a record date 45 business days after the tender offer even opens, so the final per-share number can still move. The deal also isn’t done — EGS needs at least 90% of shares tendered, plus a separate
$7M side-deal for Alchemy Beverages has to close too. And this plays out over months, not days, with the offer staying open 60+ business days and another 30+ after final pricing is set. The gap between the 3-6¢ trading price and the 10¢+ deal price isn’t free money sitting on the table — it’s the market pricing in real risk that this doesn’t close cleanly. Legit news, just not the guaranteed windfall it’s being sold as.
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