2 ms·
I don't know if that's necessarily the case, in practice. Aside from the cases where a PE firm does keep the company public, there's at least one case where sho
by underlipton 3y ago
I don't know if that's necessarily the case, in practice. Aside from the cases where a PE firm does keep the company public, there's at least one case where short-sellers weren't made to close out their positions when a company was taken private (Next Bridge Hydrocarbons, if you're curious).
- robertlagrant 3y agoHow did that work? The company became privately owned, but somehow someone was still betting on the price of some public shares in that company? How's that possible?
- underlipton 3y agoIIRC, public trading was halted several days early due to an "extraordinary event." It was never restarted, CUSIP was removed a few days later. Short positions weren't closed and long positions are sitting in brokerage accounts.