IAC could do a Split-off: offering some of their shares in MGM for their own shares. The exchange rate should be favorable so that IAC shareholders are inclined to tender. Any thoughts?
Interesting idea. But they would have to pay a nice premium for their own shares. As an IAC shareholder I would definitely not accept a tender at current prices.
3.2bn Enterprise Value is reasonable, less 1.2bn in debt leaves an equity value of 2bn. I would also include IAC holding costs, they are meaningful, unfortunately.
IAC could do a Split-off: offering some of their shares in MGM for their own shares. The exchange rate should be favorable so that IAC shareholders are inclined to tender. Any thoughts?
Interesting idea. But they would have to pay a nice premium for their own shares. As an IAC shareholder I would definitely not accept a tender at current prices.
How are you calculating enterprise value. If your market cap is 3.2 billion and you have net cash of 900 million or so your EV is 2.3 billion
3.2bn Enterprise Value is reasonable, less 1.2bn in debt leaves an equity value of 2bn. I would also include IAC holding costs, they are meaningful, unfortunately.