PEIX shareholders are headed down the same path. $.46 cents for a quality plant in the corn belt, mind you. PEIX's valuation would be lower. Not to mention PEIX's $100+ million in debt. With debt higher than what the plants are worth, there's nothing left for shareholders but another bankruptcy.
I can't wait for GPRE to bring BIOF's MN plant back on-line. More money for GERS to protect GPRE's competitive advantage over patent infringing PEIX/AMTX.
I disagree somewhat on the plant valuation........keep in mind this wasn't a regular sale, the debt owners got an offer and decided to act on it. No telling what they might have got if they held out and how the price may have changed (if at all) when the EPA announces their dec on whether or not to lower the mandate for 2014. And who knows what condition the plants are in. Too many unanswered questions to know if the price paid was reasonable or not.
I will say this though........prob a lot cheaper to buy a built plant than to build a new one, so GPRE has the right idea. They are obv set hard on growth.......makes you wonder if they know something the rest of us don't.