2 cents

if you own 200k with an avg cost of 75 cents. and a buyout came in at .50.

Of course you would lose .25 per share.

but if you can at that time buy 200,000 shares at .25 and they get redeemed at .50 you end up break even instead of losing.

I don't care if plaxton and insider also get more ... I want protection for me

For a recent example look at CBR's news item

http://finservtd.globeinvestor.com/f...

there you get a right at one half the prevailing market price.

pretty simple and effective and of course it immediately makes a takeover more expensive.

there are different ways to structure it ... most important is to buy time for those who stand to lose to organize and avoid unecessary losses.

Orgy