Let's assume the rumor is fact...just for the sake of it.
Scenario's:
1) original deal was for double FOREs price when they first started talking--- at the $13 range that would be $26...walking is good.
2) original deal is for a nice number, say $35, and yet they still walk away. New scenarios:
A) they walk because another suitor has better offer
B) they walk because they are going to have spectacular earnings this quarter, and feel it will move the stock.
C) the quarter is going to suck as usual, but management just knows, by golly, that their company is worth more than $35, so they will just wait it out.
Overall, not so bad. And we just knooooow that 2-C could just neeeeeever happen. Management too smart for that. But if they did, without letting me vote for it, I would be talking with my *ugh* attorney real soon...
But any broker worth his salt (and what broker isn't worth about one pound of salt?) would have the rest of the rumor-- Fore walked away...BECAUSE... |
