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At current stock levels, the market price for all of Blockbuster would be about $3.5 billion -- about $3.2 billion in equity, with the balance in Blockbuster debt.
Boyd and MGM Mirage are providing about $217 million in equity, with the rest of the estimated $1 billion cost to be financed by loans from commercial banks.
At current stock levels, the market price for all of Blockbuster would be $3.5 billion -- about $3.2 billion in equity, with the balance in debt.
Bear ,Stearns has committed to provide $150 million for its share of the deal's $500 million in equity, with the balance to come from Hicks, Muse.
Tishman Speyer and BlackRock each put up about $125 million in equity, with the Crown family of Chicago chipping in money as part of the Tishman Speyer group.
The majority of Melrose's offer is likely to be in equity, with the cash element thought to be funded through a rights issue.
Similar(44)
Most people invest around 60% of their retirement savings in equities, with the rest invested in bonds.
For example, he writes that 55-year-olds should have 85percentt of their retirement money in equities, with 10percentt in bonds and 5percentt in cash.
Some analysts see ample reason for caution in equities, with many economists, including those at the Federal Reserve, forecasting tepid growth in the near term.
And it is in equities with institutional sales and trading.
Wigmore advises playing it safe in equities with brand names that are capable of moderate 6% to 7% growth in earnings based on performance for the past four years.
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