It had dropped to $2.00 at one point. Stop losses are being filled as the market is tanking. Glad I didn’t put a stop loss as I would have lost quite a lot.

No news either so need to calm down.

Article about the potential deal: http://www.tradingmarkets.com/.site/news/Stock%20News/2164230/

The article states that the board of directors is reviewing the offer and should make a decision within a month. This could be a shot at a quick 12%+ return in as little as 4-6 weeks.

Has anyone else looked into this potential arbitrage play?

According to the story at http://www.tradingmarkets.com/.site/news/Stock%20News/2164230/ the company’s board is expected to make a decision during this next month.

Quickly glancing at some key stats for DFZ from yahoo finance, I see that they have about $27M of cash ($2.60+ per share) and they only have $2.43M of debt. I’ll have to dig deeper on this one. Anyone looking at this one?

Perhaps their solution to this dilemma is their newly announced relationship with Placemaking Group as their PR agents. But that’s me guessing again because I want the 152% spread as of today!

With “no financing conditions”, where does their money come from??

I did find an article about the previous attempt at a merger/takeover of DISK saying that DISK was finally so relieved to have a real deal on their hands. They had had a full year of back-and-forthing breach of contract allegations, and finally Nyx stepped ably in… And now…?

But it is very small compared to his portfolio. It only makes up 0.23% of his portfolio.

That DISK is getting away from me today, and I think someone knows something somewhere. Probably a letter will come out soon, from Nyx.

I will have a look at gurufocus.

Andrei, how would I verify with the SEC filings?

Still have to verify with the SEC filings.

MKL, your last post says Icahn got his shares for less than the offer price, but the seeking alpha article that you mentioned above says that he bought his for more than $15 and speculates that he might not be willing to sell out for a loss. I have not looked myself to see which is correct, but perhaps we need some clarity on that issue.

The offer was lettered February 2, 2009, and it said HWare is “prepared to make a cash tender offer for any and all shares at $15 per share, under certain conditions, including support of the Board of Directors for the tender offer and mutual agreement on related matters such as Board representation and waiver of the Company’s Rights Agreement.”

It’s been seven days so they must be still communicating with their board and major shareholders. I hope they speak soon.

Icahn and Barclays appear to have acquired their shares in mid November 2008, when the price appears to have between $3 and $5. I can’t imagine that their major shareholders are interested in putting up a fight to hold out for more than $15. Though Icahn and Barclays are the largest shareholders, FOR is by no means anything but smallfry on their portfolios. Unless its future value is.. Even then, one in the hand is worth two in the bush.

I’ve got a magnifying glass on this one.

I may have to start looking into FOR to see why the spread is so large.

@ John,
I still havent been able to read up on ANL. Was too busy to be on the computer over the weekend. Hope to get a chance to catch up before I miss the boat completely.

I’m with Fidelity and they charge $20 for a tender plus the commission of $10.95. So $42 in fees alone… need to see how my much money I will need to invest to get that expense ratio down..

As for a specific date to purchase by… I am not aware of any such stipulation. I use Ameritrade as my broker and the only thing that you need to worry about is if you do decide to tender the shares, with Ameritrade, you must do so before 4pm est on Feb 17. If you tender your shares you should see your money within 14 days (usually sooner). In the ANL case, if you do not tender your shares, you will still get bought out, but those that tender get their transactions filled sooner. In my opinion, the best thing to do is to try to sell out on or before the expiration date on the open market so that you get your money immediately. Hopefully, you only lose a few cents per share off the deal price by doing that. Also, if the tender offer is extended (which seems to happen often) you can Un-tender your shares and sell them on the open market yourself.

Thanks for the info on the suit, MKL. I’ll have to look into that as well. I also have FOR on my radar as well as HLND which had a similar offer from the Chairman to take it private for $9.50. There has been no response that I have seen so far. Other less lucrative positions that I am looking at and would welcome any feedback are ALDN, WSTF, and PDGI.