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A firm has 1 0 1 shareholders. 1 0 0 of the shareholders each own 1 share. The remaining shareholder is an activist hedge fund
A firm has shareholders. of the shareholders each own share. The remaining shareholder is an activist hedge fund manager who owns shares. The current share price is $ per share. Management is trying to buyout the activist hedgefund manager using "greenmail." Management offers to buyout the hedge fund manager's shares at $ per share. If this goes through, what will be the percentage decline in the share value of the remaining shares? Give your answer to the nearest The answer is
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