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Tucows Inc TC.P.T


Primary Symbol: TCX Alternate Symbol(s):  T.TC

Tucows Inc. is a global internet service provider. The Company’s segments include Ting, Wavelo and Tucows Domains. Ting segment provides retail high speed Internet access services to individuals and small businesses. Wavelo segment offers platforms and other professional services related to communication service providers, including Mobile Network Operators and Internet Service Providers. The Tucows Domains segment includes wholesale and retail domain name registration services, value-added services and portfolio services. The Company primarily earns revenue from the registration fees charged to resellers in connection with new, renewed and transferred domain name registrations, the sale of retail Internet domain name registration and email services to individuals and small businesses. Tucows Domains segment manages approximately 25 million domain names and millions of value-added services through a global reseller network of over 35,000 web hosts and internet service providers (ISPs).


NDAQ:TCX - Post by User

Comment by blueboyon Jul 05, 2016 6:59pm
112 Views
Post# 25025234

RE:RE:.72 based on the bought deal

RE:RE:.72 based on the bought deal
I'm actually not sure that is the case Curt.  Since it is a shares for shares deal and TCM shareholders get 0.0988 CG shares for each TCM share, the value of the takeover per TCM will fluctuate with the price of CG shares.  If CG shareholders don't like the deal or if the gold price tanks tomorrow, the CG share price will go down and TCM shares will be worth less than the 0.80 per share (not .79, as that is based on yesterday's CG close, not today's).  If, however, CG shareholders like the deal or if the price of gold goes up tomorrow, then the CG share price will increase and TCM shares will be worth more than the 0.80 per share.

Even though the deal doesn't close for awhile, TCM shareholders essentially already have CG shares, as that is what will determine the value of their TCM shares.  If you have 10,000 shares of TCM,  you basically already have 9,880 shares of CG, for all intents and purposes.

That is my understanding, at least, as past shares for shares takeovers that I have been part of fluctuated that way...

Either way, TCM jumps at the tomorrow.  If CG opens at 8.10 then TCM should open close to 0.80 (maybe a couple of cents less, to leave room for a profit).  If CG drops to 7.50 at the open (which I don't see it doing), TCM should open close to 0.73.  If CG opens at 8.50, then TCM should open close to .84

BB
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