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Molodets [167]
4 years ago
13

The Master Manufacturing Company has just announced a tender offer for its own common stock. Master is offering to buy up to 100

% of the company's stock at $20 per share contingent on at least 64% of the outstanding shares being tendered. After the announcement of the offer, the stock closed on the NYSE up 2.50 at $18.75. If a customer were to tender 100 shares held long, the customer is assured of receiving:
Business
1 answer:
siniylev [52]4 years ago
4 0

Answer:

$0

Explanation:

Since the offer to repurchase the stock's is contingent (or depends on) the fact that 64% of all outstanding stocks are tendered, there is absolutely no assurance that the threshold (64%) will be met. So there is no assurance that the stockholder is going to be paid (there is no guaranteed payment at all) if he/she decides to tender the stocks.

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salantis [7]

Answer:

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Explanation:

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3 years ago
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