What do you guys think? I know literally nothing about pharma
bad timing. bad target. I don’t think the deal will go through.
Interesting mni, seems to be the consensus so far. But there is still a chance, right? There’s a >15% discount right now on WYE, assuming the $50/share purchase price. Who’s going to buck up and engage in some good ol’ risk arbitrage?
its not an all cash deal and PFE is down 11% on the day (so price is already down to about $48) If it was all cash you’d get more arb interest but investors are staying away from stock deals
Thanks for the clarification, JasonU
I mean it works the other way too… if PFE goes up stand to make more than $50/share on WYE which is already ~15% upside market is just saying it doesnt think PFE is going anywhere I’ve been really interested in these M&A deals lately though because it does seem as if the arb guys are just gone. Made some ridiculous annualized returns on Bud/Imbev, Hercules/Ashland, Greywolf/Precision. If anything though I think the Roh/Dow deal is much more interesting at the moment than PFE.