While another month is about to end, this is actually very hard to believe. I was very disappointed today when I learned that the TMX Group Inc. (X) had decided to cancel the merger of equals deal. June 30, 2011 was supposed to be the big day, but the TMX Group call it quite one day before, without giving the chance to shareholders to speak their mind about the merger of equals.
While canceling everything in a move a panic, TMX shows sign of an interior poor leadership. CEO Tom K should resign. The TMX should have gone through this all the way and give shareholders the opportunity to vote for or against the merger of equals. We’ll never know for sure if the deal could have gone through or not. A vote is a vote and has only value once accomplished. It would have been interesting to get the result of the vote.
By calling it quite, Thomas Kloet and his board are acting like complete losers. And now that the deal with the London Stock Exchange Group had been cancel, Mr. Kloet is now going to study the proposition of the Maple Group while he already said before that the Maple Group proposition wasn’t valuable. So there’s a big contradiction in here. And worst of all, the TMX Group has to pay millions of dollars to the London Stock Exchange Group.
Knowing that millions have to be paid in case the deal being cancel, the TMX Group should had giving the merger of equals its chance. The TMX Group shouldn’t have cancelled the vote, knowing millions were on the table. This demonstrates a poor leadership and this is not exactly very great for the image of Canada. Did Thomas Kloet got buy somewhere by banks? Would Thomas Kloet had been paid 300 000$ to cancel the merger of equals deal? Does the amount of 300 000$ sound familiar to you? Well, 300k is the amount that Brian Mulroney received in the Airbus Affair.
Here in Canada, financial crimes are not being paid the hard price and see the results. That’s what happening right now. Thomas Kloet is an idiot.