Summit Industrial Income REIT Unit SMMCF

two questions

[materialsgirl]

*** Is there a penalty if the buyers back out?

*** distributions are cancelled.  What happens if the deal takes 
12 to 24 months to close?

mat

[BBAccount001]

1) I didn't notice any mention of a breakup fee so in theory they could walk away 2) The 4% return we thought we'd make on the merger arbitrage turns into 1% - This is why the price is not $23.50 today; there is always risk with any buyout

[William32]

What do you mean by " The 4% return we thought we'd make on the merger arbitrage turns into 1%" ?  There is currently a gap of ~5% between the closing price and the current share price, no? I understand that there may be a gap due to the risk that the deal goes off the rails, the loss of opportunity from that money locked-in, etc., but why are you referring to 1% on

[BBAccount001]

on the day I wrote the post it was 4. Today it's 5. Tomorrow it could be 6.

[William32]

But why do you say t turned into 1% ?

[BBAccount001]

If the deal takes longer to close your annualized return will drop. The numbers I threw out were just for hyperbole.