|ITEK closed at $3.00 or so.|
The market cap is now $80 million.
Is my understanding of the proposed reverse merger correct? Since the acquiring company will own 80% of the equity and ITEK shareholders will get 20% of the equity, does that mean once the merger goes through the new company will (if the shares stay where they closed today) have a market cap of $400 million?
I think ITEK had net cash of $60 million, so that means the new company is a biotech startup with a pipeline, $60m cash and a $400m market cap?
Well, it's no longer a cash rich value stock!
Damn, sold all my share below $1.40......