Topic: Growth Stocks

CARFINCO FINANCIAL GROUP $11.35 – Toronto symbol CFN

CARFINCO FINANCIAL GROUP $11.35 (Toronto symbol CFN; TSINetwork Rating: Speculative) (1-888-486-4356;; Shares outstanding: 26.5 million; Market cap: $299.7 million; Dividend yield: 4.2%) is the subject of a friendly takeover bid from Banco Santander of Spain (ADR symbol SAN on New York). The offer is for $11.25 a share in cash. Carfinco will also pay a special dividend of up to $0.10 a share when the deal closes.

Carfinco is now trading at $11.35, which is equal to the value of the cash and special dividend. Carfinco’s directors and executive officers, who collectively own 12.9% of the company, have agreed to support the deal.

However, Carfinco could attract a rival bid, or significant shareholders, such as mutual funds, could hold out for a higher offer. We’ll say more as the takeover progresses, but for now Carfinco is a hold.


Tell Us What YOU Think

You must be logged in to post a comment.

Please be respectful with your comments and help us keep this an area that everyone can enjoy. If you believe a comment is abusive or otherwise violates our Terms of Use, please click here to report it to the administrator.