Replies to post #72199 on Biotech Values

[DewDiligence]

Re; PFE+ WYE

Since WYE shareholders are getting a set amount of cash and a percentage of a PFE share, it would seem to me that the deal will simply get worse and worse for them as each day progresses! I know that I must be missing something...

You seem to be assuming that PFE’s stock will continue to fall between now and the deal closing. On what basis do you make such assumption?

[DewDiligence]

As I’m typing, PFE is trading at 16.00 and WYE at 44.40, which is a wide 9% discount to the $48.76 deal value implied by PFE’s current price. Inasmuch as the risk of the deal not closing is small (IMO), WYE is a better buy than PFE at the current prices.