Mr Cooper Group Inc fka COOP

[SamuraiProgrammer]

Concerning a stock swap deal....

All of this is conjecture just to show how the deal MIGHT work.

Assume that JPM is willing to settle for something that ends up being equivalent to $20 a share.

Assume that WMI is willing to accept that settlement.

Now, assume the problem is that JPM does not want to give up that much cash so the settlement is agreed (by both sides) to be a stock swap.

Assume that JPM is trading for $40 a share at that time. (It does not matter what the price of WAMUQ is.)

The stock swap would then be:

JPM Share Value / Settlement Share Value

OR

$40 / $20 = 2 = 2 shares of WMI earns 1 share of JPM

It has nothing to do with the current value of WAMUQ but rather the value of the company AFTER the settlement if the settlement were paid in cash.