Given a take-over price of $38.75 per share, I hope that BHP can see considerable potential in Petrohawk because based on current metrics, the deal doesn't look very good to me.
On the face of it, sounds like a great deal for Petrohawk shareholders, with existing value at around $15.36 and current price of $23.49. The BHP offer at $38.75 represents a huge premium over current price.
Is BHP running out of attractive acquisition targets that can pass under the political radar? If this is the case, it is not a great situation for BHP shareholder value.