W2007 Grace Acquisition I, Inc. (fka WGCBP)

[goldcanyon341]

The four individuals, David Johnson, Patrick Lynch, Roberto Verthelyi, and Fredrick Shearin represented by Chimicles & Tikellis LLP are not majority shareholders of the Pref B and Pref C. I can see why Goldman Saks would want to make a deal with them.

Based on financial information released, it appears that the American Capital transaction should be able to pay off the preferred B & C in full and still have money left over for equity.

The Q&A states that the American Capital transaction will only return $18.50 per share. Why would Goldman Saks, "given their previous conduct", reach into their pocket and pay $26.00 per share?

The best approach here would be to await the closing of the American Capital transaction in December. Based on the results of that transaction, funds should be distributed under court supervision to the appropriate parties. Then, if Goldman Saks wants to throw in an additional $7.50 per share, they can do so after the fact.