GREY:TSTIF - Post by User
Comment by
MarylnMansonon Sep 06, 2019 10:10am
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Post# 30101910
RE:RE:stryker
RE:RE:strykerHistory, statistics, common sense. The first offer of something is rarely the best, everything is a negotiation.
this purchase price is well below the average 36% premium exhibited for M&A transactions over the past 10 years.
Most acquirors will not let a deal die because of a slightly higher price there is an entire secotor of the M&A industry built on this principle Bumpitrage.” This happens after a deal is announced that requires a shareholder vote. An activist will come out and threaten a proxy contest to urge shareholders not to vote for the deal unless the buyer agrees to a bump up the price.
“Once a buyer has invested the time and money into buying a company, they’re not going to chicken out of the last couple dollars,” Liekefett said. “The buyers always want to salvage the deal.”