It all comes down to money in. How much money are they getting for these assets? That money in is applied to the debt. What is in excess of debt, if anything, goes to common stock shareholders. It doesn’t matter if they only want the assets. Yes. Of course. That’s what they are buying. But the money in is distributed. Common stock is last to eat. If bids are $10m over total debt/costs, we break even. If not, we don’t. Tell me I’m wrong on this if I am.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.