Don`t accept this nonsense, this Qualifies as a SPINOFF!
One way or another you`re purchasing this stock at a retail level without any guarantees from PFE the shr price won`t go below the 7% thats being offered.
How can anyone believe this actually qualifies as a spinoff is beyond me. If PFE offered us Preferred,Rights or Warrants,it`s one thing,but they`re not, its Common shares traded on the OPEN market,where, as we all know anything can occur!
Purchasing a stock based on the closing price minus a 7% discount isn`t much of anything when PFE can`t give us any assurances they will actually stabilize the share price if it dips below the 7% discounted price.
How can you, the Author or any Shareholder justify this is a bargain?!
How do "Shareholders/ insiders" benefit from a spinoff like this? There are NO benefits for long or short term holders!
If the market drops below the discounted Sprice, guess who`s holding the bag?
Traders thinking they`re going to profit, think again on a tax bases you`ll maybe net 2.00% from this transaction, is it worth it?
In my opinion shareholders need to reject this offer and demand we receive Tax Free Shares of this spinoff.
Rather than tell everyone this is a great deal, i suggest you bring some substance to this forum and THINK for a moment what you`re actually saying!
By NO means is this a reward for PFE/ZTS holders
Who are you responding to? You're correct in saying this is not a spinoff, but you are very mistaken in saying that there are no benefits to longterm share holders of PFE. The PFE shares remitted in exchange for ZTS shares will be retired, reducing the number of shares by about 6% - essentially a MAJOR share buyback, using ZTS shares to pay for the PFE shares bought back. And you are mistaken on the tax issue - this is a tax neutral exchange, with capital gains incurred only when the ZTS shares are sold, not when they are received. And you are mistaken in thinking that shareholders can "demand" a true spinoff. It's not up to us to run the company. Your rant is a bit off target, whatever or whoever that target might be.
Who`s to say ZTS shares don`t drop after the Buyback? How is this benefical to PFE shareholders, or ZTS. What about those of us who own both? I know my share price was lower when ZTS IPO`d. Why would i purchase here,when, the market could correct itself,and i can obtain shares of ZTS lower!
I believe PFE shareholders are going to react in an unfavorable way! This is a No/Win situation and to candy coat this as a good thing is a joke!