Is PE the only avenue for Diamond to get cash to reduce debt? Why is K not in the picture?
If K was serious about looking at DMND then having TPG AND KKR et al. in the picture may force K to fight or flight.
They could do a secondary offering, but that would dillute the share price. K will probably eventually step in and buy them out, but maybe not until they haqve a clearer picture of the companies standing after the restatement release.
PE is only one step above a dilutive secondary. If the books are clean enough for PE why not K?