Assuming zfx current market cap = 7.6 bn. assuming cash held = 2.3 bn Therefore ZFX's productive assets are currently valued by market at 5.3bn. So for a predator the PE multiple for ZFX productive assets(ie.excluding cash)at current share price is apx 3.7 for 2007 and 6.0 for 2008. Therefore a takeover bid at 9.9bn after the 2.3 bn cash is deducted would mean that acquirer is paying $15.75 per share for companies productive assets. Makes ZFX look pretty cheap
ZFX Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held