Newstrike Brands Ltd NWKRF

RE:Simplified, 55% gain for HIP shares to ACB shares.

[thorgb1]

Mindfull wrote: If both deals go though,

Deal #1 
0.033 of HIP share = 1 share of CMED

Deal#2
ACB will give $24 for each CMED share

Therefore:
10,000x0.033=330 shares of CMED

330x$24=$7,920
Current price for HIP is 0.51 cents so 10,000x0.51=$5,100

Your gain is 7,920-5,100=$2820 


If this is wrong, please give new caculations.

This is patently incorrect. Everyone needs to stop saying ACB is paying $24 for CMED, as it is misleading and false as it is not a cash deal. ACB is paying some number of shares for CMED, with the current proposal being 3.7 shares per CMED share, meaning the current value is around $22. This is likely to go up if any deal gets done, but we should evaluate accurate information at the current time.