ES -- DX/CL -- isee -- cboe put/call -- specialist/public short ratio -- trinq -- trin -- aaii bull ratio -- abx -- cmbx -- cdx -- vxo p&f -- SPX volatility curve -- VIX:VXO skew -- commodity screen -- cot -- conference board

Saturday, January 19, 2008

 

countrywide deal not sealed yet


per felix salmon:

The takeover takeunder is valued at $6.47 per share, but Countrywide is trading at only $5.11. How come? Well, have a look at the MAC clause (a/k/a section III 3.8(a) of the merger agreement), detailing the representations and warranties made by Countrywide...


there's skepticism in the market -- salmon himself notes that it's widespread. the $64 question: is it transient selling pressure from delevering arbitrageurs in the midst of a waterfall selloff? or is it an aggregate bet that bank of america won't close a deal that many had to justify by implying government pressure and aid?

Labels: ,



This page is powered by Blogger. Isn't yours?