RE:RE:What is the share price of today's 5B dealThats a good way to interpret that $95-100/share for 5.75 times valuation of book equity. Now we will see shortly howmuch market is giving this time based on future cataysts. Thank you VENMan
VENMan wrote: I see nothing wrong with your line of thinking. The way I price it out is like this. WEED had Equity of $1.2 Billion on the books and the Market gave WEED Market Cap of $6.9B or 5.75 times Equity. Now WEED gets $5 Billion to add to the $1.2B on the books. So Book Value goes to $6.2 Billion. IF the Market decides to still give WEED the same 5.75 times Book Value then the Market Cap for WEED could be $35 Billion should it not? and that would work out to the same $95 to $100 per share you feel CB is paying for WEED. If the Market Agrees CB stands to make a quick double on their $5 Billion investment. Now, I could be all wrong, after all I'm no big time investor but at $40 per share I like my odds. All IMHO, Congrates to all those Long Here. Always Enjoy reading your posts.