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Violet inc. announced it would purchase Organic inc. by swapping 0.8 share of Violet inc. stock for each share of Organic inc. stock. after this
Violet inc. announced it would purchase Organic inc. by swapping 0.8 share of Violet inc. stock for each share of Organic inc. stock. after this announcement, violet inc share price is $15 and organic inc share price is $11
1. explain a strategy that a merger-arbitrageur would take to make arbitrage gains.
2. provide reasons why arbitage gains exist 
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