RE:cant compare the Shaw deal to this oneYes agreed re. scrutiny on shaw/rogers deal. The market decides on the likelihood of any merger going through based on all the factors effecting the possibility of merger being finalized So even with less scrutiny from regulators, there could be other factors that decrease likelihood of a deal going through eg. do they have requiste votes. For this WEED/FIRE deal, the market, as indicated by stock price, thinks this deal has extremely high chance of going through.
AOGEE wrote: The reason the Shaw stock price traded almost 15% lower was due to the fact that the telecom industry is regulated by the Feds. Any merger or aquistion in that industry is highly scrutinized and there is a better chance of it not going through due to a monopoly scenario hence the 15 discount in the stock price to offer price.
The MJ industry is not scrutinized as much for monoplization of the industry so you will see the Fire share price trade just around the appropriate acquistion price. That is as of yesterday...
Supreme Cannabis shareholders will receive 0.01165872 of a Canopy common share (the “Exchange Ratio”)
Canopy share price $35.75 x 0.01165872 = $0.417 (Supreme aquistion price)
The market feels it is a good deal as we are seeing the share price hover around the .40 cent mark. We may get a bump up with a good ER in May but I think the warning came from Beena that it may be a bit soft so I would be careful on betting on that system.
This is a MJ stock in a the penny category. Risky, volatile and cutthroat. You may hit a home run or you may strike out. (Lets go Jays).
Cheers