RespireRx Pharmaceuticals Inc (RSPI)

[asuhowe]

gfp..
I agree partially with your reasoning.
A quick question for ya..
You mentioned that you think a buy-out offer (after good RD/AD results) could fetch in the mid-2s.. But, because of the current level of the options, that management would probably not accept this..
I'm not an expert on buy-outs, but, even if COR's management rejected the buy-out offer at a mid-$2 price, wouldn't that be just as good of a thing as in the case of lowering the stock options so COR's mgt would accept?

My thinking is this:
a) The offer would probably be public, right? Especially if the BP wanted to let the shareholders of COR know that an offer is on the table. I assume they have to legally disclose this, and the shareholders get a vote on the offer?
This would dirve the price up to just under the offer price (this is what is typically seen when an offer is on the table), and we could all get out at a mid-$2 price prior to the rejection.
b) The offer announcement of an offer on the table might start a bidding war, and, may get the asking price to something mgt would accept under the current stock options
c) If COR's mgt rejected the offer, it would send a clear message to the market that they think things are worth much more, and they'll pretty much draw the line in the sand in regard to what a fair asking price is.. This could either draw a BP to step up and buy at that fair market price, or at least give the stock added boost from a mid-2 pps based on the fact that mgt thought the offer was much too low v. the potential...

Any thoughts? Just speculating.. I may be way off base with my thinking..