Fri, Aug 22, 2014, 11:40 PM EDT - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

Corrections Corporation of America Message Board

you are viewing a single comment's thread.

view the rest of the posts
  • tiomigi tiomigi Aug 29, 1998 2:10 AM Flag

    20 3/4

    I just stumbled on to this industry. CCA, WHC,
    and PZN all
    looked good. So I bought some PZN and
    WHC. But I have
    questions.

    1. With an
    exchange ratio of .875 PZN for each CCA the stock

    prices obviously show lots of arbitrage. At todays
    closing price
    I could have "bought" one share of PZN
    for 1.142 shares of
    CCA, which calculates out to
    $19.07 per share of PZN.

    I didn't do that, even
    though it seemed lots smarter to buy CCA, I
    guess I
    just liked the security of the dividend in these
    turbulent
    times, and I just got burned buying CIEN several
    months back
    because I really wanted TLAB. In any
    event I split my
    investment between PZN and
    WHC.

    Anyway...with PZN selling for $21 there is a $2
    gap here. That
    says something....what exactly I
    don't know.

    2. Then I read about the special
    $2 dividend to be paid in late
    1999 for each
    share of CCA and that effectively widens the gap
    to
    $4.

    Is the merger likely to go ahead? Is there
    serious opposition?

    The fundamentals and the
    story look so good here that I'd like to
    invest
    more, but where exactly to put it?


    mikemc@clearwater.net

 
CXW
35.71+0.05(+0.14%)Aug 22 4:02 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.
Keurig Green Mountain, Inc.
NasdaqGSFri, Aug 22, 2014 4:00 PM EDT
Salesforce.com, Inc
NYSEFri, Aug 22, 2014 4:00 PM EDT