Mergers and Acquisitions – A beginners guide

7. Premium over market: Premium paid to get control of a target company. Equal to ((offer price per target share (cash transaction) or issue price per acquirer share times exchange ratio (stock transaction)) ÷ (the “unaffected” share price) – 1) x 100. N.B.: “Unaffected” share price is target share price one week prior to announcement. ................
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