07-17-2012, 05:54 AM
How would a dutch auction work in the event the "poison pill" is invoked? Some companies (Google) use them to IPO, but how would you sell the entire company using this method?
My understanding is that a dutch auction begins with a price so high, no one is willing to pay it. The price is then lowered until a bid is made, at which point that becomes the selling price.
Is this how it would work in IOC's case? If so, what do you think the starting price would be? If E/A + B/T are worth ~$400 then what starting price would guarantee no bids? And at what price would a bidder finally emerge?
I like the sound of a 4-digit starting bid. Should allow me to keep the maui cold boxes filled with proVOisions even after the IOC 1000 celebration with palm, tree, and hemi lol
My understanding is that a dutch auction begins with a price so high, no one is willing to pay it. The price is then lowered until a bid is made, at which point that becomes the selling price.
Is this how it would work in IOC's case? If so, what do you think the starting price would be? If E/A + B/T are worth ~$400 then what starting price would guarantee no bids? And at what price would a bidder finally emerge?
I like the sound of a 4-digit starting bid. Should allow me to keep the maui cold boxes filled with proVOisions even after the IOC 1000 celebration with palm, tree, and hemi lol