VZ Investors will be Diluted with 60 Billion Dollars in New Shares Owed to VOD
You people are forgetting that VZ will have to issue (60 billion) in new stock in order to pay VOD. So, VZ's stock price may not appreciate as some have suggested. That's on top of the 70 billion in NEW loans (debt) they have to pay back.
Silly boy, they will now own 45% more of their company and also retain all the revenue from that 45% that they used to have to give to VOD. there's really now change here with this dilution. The company just bought a bigger piece of it's own pie.
If I read correctly, the quarterly dividend is also being slightly increased from 51.5 cents to 53 cents. Any idea of the $ amount that 45% represents??? Seems they can pay all their debt down fairly quickly from that percentage they used to give to VOD.