I'm sure that the Hunsman's along with their lawyers weight all the options before settlement. This thing could have dragged on for years. If the jury gave them a large settlement, the banks most likely would have appealed it all the way up the line. This way they received much needed cash & loans on favorable terms. Why Wall street took such a dim view is beyond my comprehension.
I refer you to the first post in this string. "Wall Street" has not taken a "dim view" of the settlement from HUN's perspective, Wall Street has taken a dim view of the settlement form its own perspective...hopes for a trade of a lifetime windfall were dashed, and it seems that a lot of selling shareholders held those hopes.
I do not believe that a new buyout is in the works...it's the wrong point in the cycle, but I do believe that the Huntsmans took this settlement so that they would be free to sell the company at the time of their choosing without the complication of an ongoing appeals process.
This company is still run like it's private. They left over $4 billion of shareholder money on the table by not taking the sure deal with Basell. Now they settle for a pittance to protect their oversized paychecks and dividend payments for at least the next couple years. Why is such an overleveraged company even paying a dividend?
The lay off 10% of their staff but then go out and buy a division in India without even disclosing the terms.
HUN burns through cash like crap through a goose and hasn't really done anything but borrow and spend...settlement money won't last long then they'll be arse deep into the unused debt facilities unless they find a merciful buyer to put shareholders out of their suffering.