Hedge, As some of the other posters have suggested, it is very surprising that a legitimate company would agree to be bought for Avant paper. Seems to me though, that if they announce the deal, give each of the insiders an opportunity to make a few bucks on the initial run up, then have a lengthy period of time before they have to get shareholder approval, then, in effect, it is a win/win for all the insiders. If Hsu and company go down in the criminal proceedings, and the stock tanks, then either they (TMI) get a lot more paper, or they can reject the deal at the shareholder approval level. Meantime, the insiders of TMI have make a few bucks on the bump. If Hsu and company walk, then Avant probably get's an even bigger pop, and provided they capped the exchange ratio, the TMI shareholders get a windfall. Provided there are sufficient outs in the deal, TMI can't lose. I notice the details of the deal are still unknown! What do you think?
Ron |
