So I understand that markets require that there be a risk premium and a time premium to compensate an investor for investing in the security of a company that is going to be acquired (for cash). That said though, isn't the discount on Cablevision (CVC) offly steep? As I write this the stock trades at about a 8% discount to the stated acquisition value which is expected to close in early 2016. With numerous cable and digital media offerings available, I can't see how regulatory actions could shut this deal down. Even in their most recent earnings (despite not being great) cablevision stated it was working with Altice to make the process go as smoothly and efficiently as possible. Am I missing something? This isn't like the Walgreens-Rite Aid merger. That I can understand having a significant premium due to regulatory interference, hence a 12% discount to acquisition price. Please, someone help me out here! Thanks in advance!
Submitted November 04, 2015 at 01:00PM by jpoms13 http://ift.tt/1NsJK4E
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