RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE: That Investors Reach a CDN $30 Million Settlement with StarOne more consideration. The acquiring company shares (in this case Flutter) usually trades at a discount in such situations, while the acquired trades at a premium since many speculate that its possible that a higher bid comes in.
In this case, we actually have a discount to the exchangeable value for Stars, yet thats also because without this deal, the Stars stock would be trading much lower, given the poor performance of management to articulate its value to the public markets.
There are two events which are going to affect both Flutter (and thus Stars) value:
Feb 27th they announce preliminary results (expect they have surpassed expectations with FanDuel killing it everywhere they go).
Merger date announcement (this will indicate a de-risking of the merger going through).
What that price delta is will be anyone's guess. My suspicion is that Stars will be valued at least at $40CAD, once Flutter rises to higher heights at merger time.