Freeport's (FCX) mega-deal for McMoRan (MMR) and Plains (PXP) looks "incestuous" to Jim Mueller:...

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dook Comments (27)
 
The deal has a dubious smell. Somebody, tell us why it is worthwhile for FCX shareholders.
5 Dec 2012, 05:36 PM Reply Like

bigbenorr Comments (477)
 
If the drilling programs of MMR and PXP do well and oil / gas prices increase then it will be more than worthwhile for FCX. Otherwise it could be a losing bet. Welcome to the oilfield.
5 Dec 2012, 11:09 PM Reply Like

Whitehawk Comments (2764)
 
Note that all three companies have a four-star rating by fool rankers.

This was an over-reaction. If investors/shareholders now have a problem with cross management between the companies, which has existed for some time, why hadn't this gotten aired previously? One would expect that after the merger there will be cost savings. If not, shareholders must demand it. In that sense, it is not a bailout but consolidation of companies that had linkage to begin with.
5 Dec 2012, 05:37 PM Reply Like

Day Trader001 Comments (503)
 
Like the deal or not, the management news is not "New-News".

Evy with BlackRock the one crying the most about the deal should have known this!!

If not Berger King is hiring cooks.
5 Dec 2012, 05:43 PM Reply Like

Texas Rebel in Oxford Comments (11)
 
Jim Bob Moffett and Mac Rankin are beyond reproach from an
integrity, character and honesty motif. I also happen to think they
are astute business men who have been highly successful for
decades. For all you 30, 40 and 50 somethings these guys know
the ropes. period !
5 Dec 2012, 05:49 PM Reply Like

G.Ray Comments (162)
 
"With such a web of relationships, how much independent due diligence was done in reaching the deal?"

I think you mean something other than due diligence. What value would independence add to due diligence when the parties are interrelated and know what needs to be known about the deal. The context of the post is one of concern that someone might be self-dealing. Due diligence does not resolve this concern whether independent or not.
5 Dec 2012, 06:03 PM Reply Like

Whitehawk Comments (2764)
 
FT's coverage last night, when I first heard of the deal, was a bit more balanced:
http://on.ft.com/Uouo2G
5 Dec 2012, 06:09 PM Reply Like

billsmojo@hotmail.com Comments (6)
 
The question is: What is the value FCX is getting in this deal?

I have a position in both companies and I'm not unhappy at all. In fact if the sub salt deep wells turn out the way Jim Bob thinks they will
FCX will be getting the better part. Good luck to both.
5 Dec 2012, 08:12 PM Reply Like

beaver6688 Comment (1)
 
If Davey Jones turns out as expected MMR would have been a$25-$30 stock. Smart business move for FCX.
6 Dec 2012, 06:11 AM Reply Like

OttoDogg Comments (8)
 
Simply put, FCX management had massive stakes in the bought companies, and sold out their shareholders for personal gain.
6 Dec 2012, 06:19 AM Reply Like