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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (71089)	9/2/2022 3:57:25 PM
From: Paul Senior	Read Replies (1) \| Respond to of 78748

Yes, "buyer beware" on these takeovers. In my basket some are progressing ok, others not. SIMO has fallen. Maybe because it's going to take a lot longer, if ever, for the Chinese to approve its merger. I'm holding on, because SIMO still looks okay on its metrics I see. And Elroy still likes it -g-. SAVE's also dropped a couple of points. I have enough shares, and I'll hold. Another one where the merger may take longer than many expect. I missed SJI but will enter now. A 6% yield if the transaction closes within a year. Petal's Swedish Match (tobacco) is down today a bit. I added more shares. HOLI. Looks like interested parties are finally going to make a firm offer. The stock's up about 15% on the today's news of the possible offer. Coming down a bit from this morning, it's now at about $19.45. Something is off kilter though if the news reports are correct: "A consortium led by China's Hollysys Automation Technologies, Ltd's (NASDAQ: HOLI) management aims to take the U.S.-listed automation and control system maker private in a deal at a $1.8 billion valuation, Reuters reports. The consortium plans to offer about $29 per share, representing a premium of 71% to the firm's September 1 closing price of $16.96. The management team, led by founder and CEO Wang Changli, has won endorsement for the deal from the municipal government of Beijing." $19.45 to $29 is too great a spread. Even if the offer isn't all cash. Maybe it's cash + debt? Anyway, I added more shares today. Buyer beware!