Canopy Growth Corp (WEED)

[MMPRuser]

well I meant that I sold my TWD to buy BED - and that is how I got CGC, I sold all my CGC to buy MT, and that was how I got my WEED. This is referred to as merger arbitrage - during the mergers there was severe and obvious market inefficiency. When the mergers were announced they described a conversion ratio, like MT shareholders will get x TWD shares. By comparing the relative prices of the merger participants with the conversion ratio you could see a spread, and for some stupid reason the merger target was priced lower than the buyer as defined by the conversion ratio.

I figure these two trades gave me a risk free 21%, like it lowered my cost per share by 21%, that has since been compounded substantially by the increase in price of the combined corporation, now known as WEED :)

i guess you could say that when the mergers were announced there was a chance they wouldn't go through, but in both cases, if that were to occur, I would have wanted to own the target that got away than the buyer that couldn't close.

anyways, that and a few swing trades and I end up with this