Berkshire & BNI Deal

[shalab]

CNBC said that 43% of shareholders opted to get BRK stock and 20% didnt choose any option. Looks like we are going to get proration. Also, a significant number of new owners aren't that dumb either.

 

 

cheers!

 

[Ballinvarosig Investors]

Can anyone tell me why BNSF is trading at $100.23?

[twacowfca]

Can anyone tell me why BNSF is trading at $100.23?

 

 

Could be short covering.  The same thing happens in the final stage of a cpt 11 when the shareholders are going to get zero!?

[cooger72]

It shouldn't have anything to do with accrued dividend, which should be paid to holders of record on February 4.  I was having trouble understanding the same thing, as I played the arb and sold Tuesday for 99.95 figuring I was entitled to the dividend.

[Dynamic]

Could be short covering.  The same thing happens in the final stage of a cpt 11 when the shareholders are going to get zero!?

 

Thanks, twacowfca, that makes sense. I'd been wondering how I'd been able to sell my shares in a pizza chain for a percent or so above the private buyout price 8 years ago, days before their de-listing, and I suspect you've given me the answer. I made a good return in about 8 months, but was still bought out well below intrinsic value. Thank goodness for margin of safety!

[cooger72]

Has anyone who was invested in BNI last week received the conditional dividend?  I sold Feb. 9, so I was an owner as of the record date (the 4th) but have not had anything post to my brokerage account as yet.  Were all the conditions met?