Posted On: 11/21/2014 9:44:16 AM
Post# of 56323
Re: bushmantrader #43937
The question is: do you believe in Bill’s good intentions or is he playing everyone like Madoff?
In a normal non-pinckie situation the post spinoff value often increases for both companies. Look at Abbott In the pharma sector. When Abbott divested into ABT + ABBV the combined value increased significantly.
Couple of (extreme) scenarios:
Best outcome:
Prior to the spinoff two positive PRs are issued one for CEN and one for Creative. This will result sharp rise in the FITX and continued growth for both companies.
Worst outcome:
No additional PRs are ever released and FITX slowly withers away into oblivion.
Something in between?
In a normal non-pinckie situation the post spinoff value often increases for both companies. Look at Abbott In the pharma sector. When Abbott divested into ABT + ABBV the combined value increased significantly.
Couple of (extreme) scenarios:
Best outcome:
Prior to the spinoff two positive PRs are issued one for CEN and one for Creative. This will result sharp rise in the FITX and continued growth for both companies.
Worst outcome:
No additional PRs are ever released and FITX slowly withers away into oblivion.
Something in between?
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