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Home » Trading

When is it good to purchase shares in a company being bought?

Submitted by on February 28, 2010 – 5:04 amNo Replies


A web user asks, Lets say company A is trading at around $2 a share on the NYSE. If a company offers to buy/merge at a payout of $5 a share, is it a good move to go out and gobble up those shares? Why or why not?

Can you help them out? Post your advice!

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