Aiming to become the global leader in chip-scale photonic solutions by deploying Optical Interposer technology to enable the seamless integration of electronics and photonics for a broad range of vertical market applications

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Message: Re: The PDA model
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Some posters suggested to invest in the shares of the acquiring company, in case POET Technologies gets bought out. Sure, this is an option to benefit from future growth of the POET technology.

However, there's a big BUT: You would experience considerable, if not terrible, dilution!

The reason is that your stake in the acquirer would be only a fraction of the stake you now have in POET Technologies. Consequently you would receive only a fraction of the POET-specific gains (dividends, share price increase) than you would otherwise with an independent POET Technologies. The rest would come from and (likely be dominated by) the gains and losses of the acquirer's other businesses. And even if the acquirer threw all its other businesses out of the window and focused solely on the POET technology, your stake would be much smaller than before.

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Aug 22, 2014 11:12AM
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