We lucked out on this development. Put our spare cash into it a couple of weeks ago, adding to our large position, after Weschler bought a significant amount for his children, and we actually went into margin in anticipation of receiving the LRE dividend next month, something we almost never do. It's now our second largest holding.
I've got mixed feelings about the bump up in price, though. The lower the price, the more likely a BRK take out. In a way, I'm a little disappointed because DaVita will likely now keep pace with the market leaders, making a takeout increasingly unlikely as the gap between IV and MV narrows.
Yeah, I think they would offer north of $75/SH, perhaps north of $80/SH , allowing for this not entirely unexpected development, but their offer has to be significantly more than the market price or shareholders will squawk about getting a bum deal. That's the downside of a rising price. There could be worse problems, however. :)
I am doing research on DVA and I don't see a BRK deal as anything close to a remote possibility. The ongoing and potential legal issues with this company are so messy that I can't see Buffett wanting to pull this one into his "permanent collection." This isn't to say that I think DVA is a bad investment. While I have a lot of work to do, I think DVA is a very interesting company but I would not in any way count on a BRK bid to give me an exit.