hmmmm. If a possible takeout is at $12, and the downside is in the low $8's, then I would think the stock offers more upside than downside at this juncture ( about $1 of downside to $3 of upside). Not sure why you claim the stock has more downside than upside, if the scenario you presented has validity.
danin: are you buying yet or are you still waiting for a pullback to the mid $8's? for them to cancel the deal and pay $50 million, had to result in a absolutely horrendous finding, to say the least-- Why should I reinvent the wheel, if I can just replicate your brilliance? My motto, follow the smart money.