Topic: Growth Stocks

Stock Pickers Digest Hotline – Friday, December 5, 2014

Article Excerpt

TIM HORTONS INC., $96.97, symbol THI on Toronto, shareholders will vote on the friendly takeover offer from BURGER KING WORLDWIDE, $34.81, symbol BKW on New York, on Tuesday, December 9, 2014. If the deal is approved, Tim Hortons investors will have a number of options: They can sell their shares on the Toronto exchange and receive the current trading price of $96.97 (less brokerage commissions). If they don’t do that, they can opt for one of the three choices below by notifying their brokers no later than 5:00 p.m. on Tuesday, December 9, 2014. Shareholders can choose the default option (which they will also get if they do nothing) of $65.50 in cash plus 0.8025 of a Burger King share for each Tim Hortons share. At today’s price for Burger King (and adjusting for the U.S./Canadian dollar exchange rate), this option is worth $97.45. Shareholders can choose the all-cash option and receive $88.50 a share in cash. However, Burger King plans to limit the…