4 ms·
No, the price is converging towards the acquisition price because people are starting to feel more confident that the deal will go through. No one would think
by TheCoelacanth 4y ago
No, the price is converging towards the acquisition price because people are starting to feel more confident that the deal will go through.
No one would think Twitter is worth that much if there wasn't a pending acquisition at that price.
- nurettin 4y agoIt is my understanding that if price goes above 54, he will get a good deal buying at 54. Why do you say no?
- JamesSwift 4y agoThe "rocketing" is due to the deal being back on, because when it closes each of your shares is worth $54. Theres no incentive to pay over that price.
- pwinnski 4y agoIndeed, if the price goes above 54 and remains above 54, he will get a good deal. It will do neither of those things. It's only even getting near 54 because of the impending deal. People buying now know that when the deal closes, the shares will be worth 54, so if they can buy for less than that, then buy, buy, buy. Once the deal closes, it's profit-taking time, so sell, sell, sell--and the stock price plummets.