Thursday, June 19, 2008

M&A, The Ugly Part

The M&A game is full of pit falls. Take a look at Huntsman (Ticker: HUN), which declined ~ 40% because the private equity group, Apollo, is walking away from the deal. This one is going to get real ugly with both sides throwing chairs at one another. Huntsman will get some compensation for this, but the arbs playing this one got steamed rolled big time. So if you do decide to play this game, just be careful. Don't go with the ones with the big spreads... don't get too greedy.


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