Dot-shot AH on Friday to 110 after it was announced that the co declined a $120 cash offer from AMGN. This thing will have to go to $130 on any deal. Buy the vert-reversal; bear put spread, bull call spread.
Why do you think it would go to 130 ? I had a bunch of ONXX and sold them postmarket around 111.5. Thinking to get back in if it sells off a little. Price was 80 a few days back and 100 a few weeks earlier. From the reports, there was an approach from Amgen, but no binding offer yet.
There was no financing stipulations in the deal letter. The only pending was DD. I traded risk-arb a long time ago and experience tells me this is a lock. This thing has to go to $130 this year. AMGN says $120 is a go. I know a guy in the space who paid $114 via swaps on Friday in massive size.
Just checked back the news and it seems quite a bit of new material has been published in the last few hours. Need to read it. Quite happy abt the situation, after a very bad month of May, this ONXX deal put me back on track for a good year.
I can't find this information though, did Amgem say 120 is still a go despite ONXX rejecting the offer ?
That was in the letter with excerpts published in the financial post AFAIK. Did Amgen comment after ONXX stated they rejected the offer and were looking for new suitors ?