might be a savior... check Seeking Alpha page with latest....
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The deadline makes sure that "independence day" this year has a little more signifigance.
I hope some else comes after us. Broadcom seems like a nightmare.
Details are out, 40-day go shop provision expiring just before midnight on July 5.
But $61B, plus assuming VMware’s $8.5B in debt. Someone else would really really really want to have VMW for that. And what would they be buying, exactly?
Also at that price, would there be any chance that someone would buy VMW and then NOT do mass layoffs? I just don’t see how this works out well for the majority of folks at VMW. (Well, apart from the huge stock bump which will apply to the next year of stock vesting.)
However, a go-shop period rarely leads to another buyer coming in.
TikTokTan don’t overpay for anything. Nor do bidding war…. Hope is not lost…
The duration of a go-shop period is usually about one to two months.
Getting more interesting now.
This means that Broadcom will make an offer, and VMW will have a set period to try to get a higher offer. How long? Depends what VMW and Broadcom agree to. A month or two maybe. However these deals typically have a provision to let the original interested buyer (Broadcom) match the deal, which essentially means there could be a bidding war, and Broadcom would win if there was a tie.
These deals are double edged swords though, as this would also give Broadcom more time to back out (since the deal wouldn’t be done yet). So think about the big VMW shareholders, (M. Dell, etc.). You have one company offering $60B guaranteed if you sign today. How much do you risk that by shopping it for a month or two, and what’s the real expected gain?
Could happen! But might not, and if it does happen, it doesn’t necessarily mean anything.
Can you elaborate please?
https://seekingalpha.com/news/3842801-vmw-nears-session-highs-after-report-of-go-shop-provision-in-broadcom-deal
It would be awesome if someone swooped in but does anyone really believe we're worth more than $60b???
It would be awesome if someone swooped in but does anyone really believe we're worth more than $60b???
What exactly does that mean? How long will other companies be allowed to place a bid?