What happens when the merger passes:
John Meares is asking Scrapps, but I'll try it anyway: "It seems to appear that the merger will pass, despite my votes against. The merger vote is June 11 (Wed). Assume it passes, what is the likely scenario. There is suppose to be a 1.7x "premium" for USR, but that seems to already computed into the stock prices. So what happens to USR stock price if the 1.7 is already factored in?
"What is the justificaion for a price increase based on COMS, who should get a "hit" for having to purchase USR. We are at 80 now, what happens June 12? June 21 (expiration date)?"
Well, the differential is actually 1.75, so at today's close, there's still a small savings for buying USRX rather than COMS. I'm not sure why this should be, but it's so.
Assuming that the merger is passed, your 100 USRX shares turn into 175 COMS shares. No other price changes, no money changes hands, or whatever. I'm not quite sure when USRX will stop trading, but COMS/USRX seem to intend it to be very soon. I wouldn't be surprised if June 11 was the last day... but I'm sure it will be gone by the end of the month. |
