Alan, re: CCN. I say forget it. The Journal wrongly switched stocks, imo. It's not CCN that's worth the $3.5B. It's the value of the TV stations, etc. and they are in BHC. (note: About $3.5B is what I've also seen reported as an analyst's estimate of BHC's worth.) CCN is primarily a holding company of BHC stock. Each CCN sh. represents. .44 shares of BHC. So CCN, trading now around 66, is trading close to a likely buyout price imo, should there be one.
BHC@$152./sh x 22.2M sh. outstanding = $3.4B.
For each CCN share: 152. x .44 = $67.
If there's a strategic imperative by CBS, or somebody else, that they must buy out CCN, then the price might not be $67/sh. BHC has already zoomed based on the CBS/Viacom deal to $3.5B. There still might be more room in the share price, but I doubt much more than a few dollars.
I could be wrong. Siegel might a super adamant holdout and CBS/Viacom might be desperate. Given that, then I say a likely final price can't be figured in advance.
Paul |
