Neighbourly Pharmacy Inc T.NBLY

The trading action affirms the need for NBLY to go private

[Kanatainvestor]

This trickling decline on low volume, despite a signed letter of intent to go private, is in itself a confirmation as to why Neighbourly needs to go private. PCP has a much better chance of accelerating growth by eliminating the dividend, cutting listing expenses, and dialing up leverage without public market investors going into a tizzy! In a couple of years, with steady growth and improved operating margins, this company will be generating $150M in adjusted EBITDA, and worth $1.5B at 10 times EBITDA. PCP will make a bundle buying NBLY for under $1B within weeks.    

[Possibleidiot01]

In my experience , it's exceedingly rare for a stock to trade this low below the offer. I don't get it . In fact , I can only think of one prior experience which was a company called Strad where the management put forward a definitive buyout offer the week before COVID which does not make a direct comparable. In the case of Strad , the stock went up to the purchase and then in a week fell

[Kanatainvestor]

Thanks for the comment. In my experience, deals done by financial buyers such as PCP tend to trade at a larger discount, but I would say we are currently at the upper end of that discount. In terms of the shareholder vote, already more than 10% of the non-PCP shared traded since the deal was announced, these are mostly arbitrage buyers who will certainly back the deal. Having said that, I do think