GREY:PMBJF - Post by User
Post by
archimedes0070on Feb 23, 2011 9:47pm
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Post# 18184548
M&A Question
M&A Questioncessnaguy,
You asked what happens to your BRX shares if there is a merger or an acquisition. If this were to happen the company that is acquiring BRX would offer their company's shares or cash or a combination of both. The BoD would give their opinion on how shareholders should vote. The BoD might advise to decline the offer as they think it to be insufficient. It would be voted upon. You are not required to vote with the BoD.
In any case if there were an offer and it passed a shareholder vote then your broker would handle the rest. The process is termed a "corporate action". Your BRX shares would be delisted and an amount of shares of the other company (or even a new company) would appear in your account. Or, cash will appear in your account. Or, there could be a combination of shares and cash.
The above is an overly-simplified explanation, but hopefully that helps.