Five9 stock rallies, Zoom shares fall after $14.7 billion all-stock merger deal announced

Shares of Five9 Inc. FIVN, +0.58% surged 8.4% in premarket trading after the $14.7 billion all-stock buyout deal by Zoom Video Communications Inc. ZM, +1.45% was announced over the weekend, but was trading below the implied price of the deal at Friday’s closing prices, as Zoom’s stock slumped. Zoom’s stock fell 2.0% ahead of the


Shares of Five9 Inc.
FIVN,
+0.58%

surged 8.4% in premarket trading after the $14.7 billion all-stock buyout deal by Zoom Video Communications Inc.
ZM,
+1.45%

was announced over the weekend, but was trading below the implied price of the deal at Friday’s closing prices, as Zoom’s stock slumped. Zoom’s stock fell 2.0% ahead of the open. Under terms of the deal, Five9 shareholders will receive 0.5533 Zoom shares of each Five9 share they own. Based on Friday’s stock closing prices, of $361.97 for Zoom and $177.60 for Five9, the deal valued Five9 stock at $200.28 each, as 12.8% premium and above the March 1, 2021 record close of $197.79. But Five9 stock is currently trading about 3.9% below that $200.28 price. Year to date, Five9 stock has edged up 1.8% through Friday, while Zoom shares have gained 7.3% and the S&P 500
SPX,
-0.75%

has rallied 15.2%.



Source link

The Fund Times
ADMINISTRATOR
PROFILE

Posts Carousel

Leave a Comment

Your email address will not be published. Required fields are marked with *

Latest Posts

Top Authors

Most Commented

Featured Videos