"After all, there are bigger, richer fish to fry..."
Yes, that was kind of my point. With so many really big deals announced, it would seem as if this one would barely make it on the radar screens of the regulators -- unless maybe LU is making a stink we don't know about and trying to block it. (After all, they're suing Cisco... Pure speculation, grasping for an answer, of course.)
The only comparable situation, in terms of just the spread, was after the WorldComm / MCI deal was announced late last Fall. If I recall correctly, MCI was trading at a discount in the high teens percentage-wise for a month or two after the announcement. But there the regulatory hurdles were known to be significant.
TLAB's price at the time of the announced takeover/merger was around 58. 58 x .72 = 41.75. As of today, TLAB's up about 30% since then, and CCSC is up hardly 8% (+/- an approximately comparable amount) above that price.
Puzzling stuff. Hard to believe the arbitrage types have all gone on vacation. Maybe they're $$'s are all wrapped up in the bigger deals...
Hope we get the answer one of these days and that it's not stupidly obvious (and bad).
ChrisMeister |
