Concordia Healthcare Corp. T.CXR.R

Apollo buys Diamond Resorts

[cashflow98]

Diamond Resorts Soars 25% Pre-Bell on $2.2 Bln Buyout Offer from Apolloless than 1 minute ago

09:22 AM EDT, 06/29/2016 (MT Newswires) -- Diamond Resorts International (DRII) shares were 24.6% higher in Wednesday's pre-market session after the hospitality company said that it has entered into a an agreement to be acquired by certain funds managed by affiliates of Apollo Global Management (APO) in a transaction valued at $2.2 billion.

Under the agreement, Apollo will pay a per share cash consideration of $30.25, or a 26% premium from the stock's previous close, through an all-cash tender offer.

The transaction is expected to close over the next few months.

Price: 29.85, Change: +5.78, Percent Change: +24.01

[visionaryfool]

You JUST beat me to the post. Guess they had a few options.. and CXR isn't one of them anymore.

[TickerTwit]

"A company is interested in both A and B. The company makes a decision on B. Therefore the company is no longer interested in A." This is fallacious reasoning of the form known as "Non sequitur", or "The conclusion does not logically follow from the premises". .

[cashflow98]

Not sure I completely agree.  As of March 31, 2016, Apollo had total assets under management of approximately $173 billion.  Apollo has the capability, just do not think they will get CXR for the price they want to pay.  Time will tell.  Q2 is over tomorrow and AMCO is producing as expected.  Day by day CXR is building...Rome was not built in one day. 

[visionaryfool]

Yeah agreed. They have different deal teams working on different sectors. I think if the Brexit vote had gone Bremain, we would've seen something by now. There is just too much negativity building. Honestly, I just want the special committee to announce that it has ended... even if its nothing material. The uncertainty has really hurt the stock. After Q1 earnings, CXR built a nice momentum

[wordless]

The only way I see a deal consumating here, would be if Apollo had the ability to retire all of CXR's expensive debt and layer debt back on at reduced rates. They could instantly increase the free cashflow by doing so.  Q2 should be a good quarter operationally in any case.  They will likely have to reduce the annual revenue projections due tothe FX, but the effect on profit should