Replies to post #1371 on Positron Corporation (POSC)

[crammerfool]

re: buyout: I wish I could remember what stock it was, but one that I came across recently was offering a $x.xx pps to acquiring them. The price of the stock shot up to that price and actually even about .05 to .10 more than the offering price. I have seen this happen at least 2 other times.

One buyout some time ago is one I was in. But how they worked the deal is that for every so many shares of the buyout company, they would receive 1 share of the acquiring company. So basically what happened for some time is the stock rose to the equivalent price to bring it in line. As the weeks went on before the final acquisition was completed, the buying company's stock price rose. The offer was still the same per the buyout, so the price of the smaller company pps rose higher as the company buying them rose. The aquiring company said they felt the cost was still worth the actual offer to the other company.