February 19, 2009

Why is the stock trading cost, lower than the aquization cost?

stock trading
Satyam asked:

I am a stockholder for a company called eFunds (EFD), it recently got acquired by Fidelity for a individual cash purchase with each stock valued at $36.50, however the stock is presently trading at $35.33, even after the news came out. My question specifically is why does a cost disparity exist? Wouldn’t investors by at the low rate and then when the deal closes make a garunteed quick buck?

Terry

del.icio.us Digg StumbleUpon BlinkList Bloglines blogmarks Facebook Furl Ma.gnolia Propeller Reddit Simpy Socializer Sphere Spurl Technorati Twitter

Permalink Print
The content of this site is for information purposes only. Please seek qualified advice before investing any of your money.