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Re: Xylan post# 16202

Thursday, 06/15/2017 2:10:36 PM

Thursday, June 15, 2017 2:10:36 PM

Post# of 24250
The price was a fixed amount, regardless of the buying entity's share price. I've reviewed hundreds of these contracts under an NDA. The price is what's fixed because other wise, the buying company would purposefully dilute and/or sink their stock price to purchase the acquired company at a much discounted amount. Those are big no-no and there are huge protections against that in the acquisition contract. The $20M was confirmed set price. Contracts 101.


Greed is good