Posted On: 08/14/2014 12:51:52 PM
Post# of 30076
Its like a dividend, it just arrives in your brokerage account based on a formula and the "Parent" shares might adjust to reflect the spin-off.
In this case, since we are expecting lots of news and potential spin-off it should be net net positive to you. As the spin-off shares will likely surge, and the other good news on the other entity AMBS could rise as well.
Could be like this:
AMBS - .11 cents surges to .20 cents on news of various kinds
AMBD - Spun out at 1:1 shares that you are holding Diagnostic Division
So if AMBS was .20 and you have 100,000 shares 20k
AMBD could be .20 and you have 100,000 shares 20k
But AMBS spins off the AMBD, and it would normally drop to .01 or something, but the Eltroprozean and MANF news comes out the AMBS stock stays at .20cents going higher AMBD goes to .50 cents.
Etc.
In this case, since we are expecting lots of news and potential spin-off it should be net net positive to you. As the spin-off shares will likely surge, and the other good news on the other entity AMBS could rise as well.
Could be like this:
AMBS - .11 cents surges to .20 cents on news of various kinds
AMBD - Spun out at 1:1 shares that you are holding Diagnostic Division
So if AMBS was .20 and you have 100,000 shares 20k
AMBD could be .20 and you have 100,000 shares 20k
But AMBS spins off the AMBD, and it would normally drop to .01 or something, but the Eltroprozean and MANF news comes out the AMBS stock stays at .20cents going higher AMBD goes to .50 cents.
Etc.
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