T. thanks for your suggestion. Here is the deal between uswic and accc:
"Under the agreement, ACC said USWI shareholders will receive 0.077 of an ACCC common share for each USWI common share, subject to adjustment. ACCC valued the transaction at about $46,000,000, or about $2.48 per share of USWI common stock. ACCC also said it will assume about $3,000,000 of other liabilities from USWI.
ACCC said the agreement provides the shareholders of both companies "with certain protections in the event of a significant change" in the price of ACCC's stock prior to closing. If ACCC's average common stock price for the 20 trading days ending three days prior to closing is greater than 10% above $32.14 (the average price of ACCC's stock for the 20 trading days ended three days before the signing of the agreement), then the exchange ratio will be lowered to "as much as" 0.065 of an ACC share for each USWI share, resulting in "a potential maximum total purchase price" of $50,600,000. If ACCC's average common stock price for the 20 trading days ending three trading days prior to closing is more than 15% below $32.14, then the exchange ratio would be increased to a maximum of 0.089 of an ACCC common share for each USWI share.
ACC said the transaction is expected to be completed "early next year,"
Currently accc is at 46 3/4 and uswic is at 1 29/32. If this deal would go through today, one would receivel at $3,03 worth of accc stock for each share of uswi. The final price could be be much lower. Accc has had a low this year of 14 1/4 and a hgh of 46 3/4. If the stock dropped to 25, the deal would be worth 10% . Over 30 it would be worth 30%+. What are the chances of the deal not being consumated? What are the chances that the stock will go closer to its low price for the year? More comments welcome. |
