« High commodity prices | Main | No shorts at all? »

Merger alert?

Via Reuters and Financial News, a possible merger between GFI and Tullett Prebon - set to close within days, or so they say.
An earlier attempt at a merger fell apart in November last year after Tullett reportedly demanded a premium to its share price.
Since then GFI has seen a sharp fall in its share price. Ignore the $94.24 figure in the FT story; it's misleading because GFI had a four-for-one stock split in March this year. Like for like, on November 19, when the deal fell through, GFI was at $23.53, and now it's at $10.55; meanwhile, Tullett has stayed pretty well the same - 457p today, 459p last November. (Figures from Bloomberg). Which makes that unspecified premium look like rather a good deal for GFI.

Post a comment

(If you haven't left a comment here before, you may need to be approved by the site owner before your comment will appear. Until then, it won't appear on the entry. Thanks for waiting.)

Risk 15% Limited Subscription Offer