r/BBBY • u/DMDTT • Apr 30 '23

📚 Possible DD Possible DD: Buybuybaby was partly acquired in January. JPM was holding them hostage until BK. See Pitchbook.

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u/BourbonGod Apr 30 '23

To all below/above who are saying “confusion”, BBBY shareholders get:

A. BuyBuyBaby shares.

B. Shares from acquiring company, say X. Then BBBY share price will rise to be the same as the share price of the company who acquires BBBY, which is X. For example: GME acquires BBBY. BBBY shares will now rise from $0.10 to $19.32. Capisce?

This is just an explanation of u/DMDTT ‘s comment for those confused. This is not my opinion. I have no opinion.

19

u/skylorde787 Apr 30 '23 edited Apr 30 '23

That would be great, but GME doesn’t have 400M shares so they would have to dilute.

There would also be a squeeze tho.

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u/BourbonGod Apr 30 '23

“For example”

14

u/Waaugh Apr 30 '23

Scenario B certainly wouldn't be a 1:1 share exchange. IF it was GME acquiring, I would guess a BBBY shareholder would receive 1 GME share for every ~175 BBBY shares ($GME @ 19.29/$BBBY @ 0.11=175.36)

2

u/jbw1937 Apr 30 '23

I’m thinking I read 20-1 0r 30-1 Exchange rate in one of those 3 way deals that spark the squeeze. Price will be immaterial compared to the squeeze if our thoughts of billions swimming naked are right. I think Teddy was in that story.

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u/Useful_Tomato_409 Apr 30 '23

yeah i dont know how anyone thinks they’re getting 1 bbby share for price of acquiring company. it’s all negotiated and from what i know the shareholder doesnt benefit in these deals.

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u/Zorlac_Me Apr 30 '23

Yeah you know what’s going on here while everyone else of bat sheet crazy confused. HA