Mer Getting Chopped Into Close...whats Up???

Discussion in 'Trading' started by dsq, Sep 15, 2008.

  1. dsq

    dsq

    GETTING BOT BY BAC AND NOW ITS ALMOST GAPPING DOWN INTO CLOSE WHILE BAC STAYS STEADY...?
     
  2. NY_HOOD

    NY_HOOD

    smart money knows Merril was on the verge of bankruptcy themselves.
     
  3. m22au

    m22au

    My back of envelope calculations says that the BAC-MER spread widened over 10% over the course of the day
     
  4. There's a risk that MER will end up in BK before BAC can close on the deal. If I owned MER, I would've sold it.
     
  5. who would buy a troubled company for 50b, without even knowing what is their exact condition?

    agreeing on buying during the weekend? exactly at the same time leh went literally bust?

    give me a break.

    this looks like bcs but with the opposite outcome...
     
  6. dsq

    dsq

    the deal is a stock swap...

    .8595 bac for each mer.

    .8595 x26.95(mer price)=23.16

    MER closed at 17.37 not 23.16...what the fk?