dixpc value at merger25 Jul 2014 18:41
Redgetz-I think your calculations are OK.If the merger had taken place yesterday,my calculatios were as follows:=
Carphone Warehouse = 336.50 per share -Market Capitalisation £1,938.47 mil.
Dixons =51.95 per share -Market Capitalisation £1,902.39
-Value of new company£3,840.86 mil.
Dixons new shareholding will be 3,661.97mil x.155 = 567.65 shares.
Carphone shares in existence = 576.07m shares
Total shares in new company = 1,143.72mil.
Divide value of new company by number of shares =£3.35 per share
My current Dixons shares 10,000 @ 51.95p =£5,195.00
My shares in new company 10,000 x .155 =1550 @£3.35 = ££5,192.00
You should in theory be no better or no worse off when the 2 companies merge.