$54 stock rise causes EM.TV to pay more
BERLIN — German kidvid giant EM.TV & Merchandising has confirmed that it actually paid considerably more for the Henson Company than previously reported due to hot trading on the stock market.
The group announced on Monday that it was buying the Henson Co. for $680 million in a cash and stock transaction. The stock deal included six million EM.TV shares, priced at $56 each. But on the day the deal was signed, they had shot up to $110 per share. So instead of paying $340 million in shares, EM.TV actually paid out $660 million in stock in addition to a cash sum of $340 million. The Muppet factory thus cost the German group nearly $1 billion.