I Hate Dialysis Message Board

Dialysis Discussion => Dialysis: Home Dialysis - NxStage Users => Topic started by: kickingandscreaming on February 25, 2019, 11:26:14 AM

Title: Anyone know about the NXstage merger?
Post by: kickingandscreaming on February 25, 2019, 11:26:14 AM
I only found out about it because I own stock in it.  Today I was discussing my portfolio and I noticed that NXstage wasn't in it anymore.  When I inquired, I was told that it was in merger (no other info available yet).  And that they were giving cash for each share owned.

Does anyone have any more info about this?
Title: Re: Anyone know about the NXstage merger?
Post by: iolaire on February 25, 2019, 12:12:12 PM
https://mobile.reuters.com/article/amp/idUSKCN1Q82V9


https://www.freseniusmedicalcare.com/en/investors/shares/nxstage/

Share exchange
In connection with the acquisition of NxStage Medical, Inc. by Fresenius Medical Care Holdings, Inc., Computershare Trust Company, N.A. has been retained as paying agent to manage the exchange of NxStage common stock for the merger consideration of $30.00 per share, without interest.  If you are a holder of shares of NxStage common stock represented by stock certificates and have any questions relating to the exchange process, please contact Computershare toll free at +1 (800) 546-5141 or outside the United States at +1 (781) 575-2765.  If your shares are held in “street name” by a broker, bank or other nominee, please contact that broker, bank or other nominee.
Title: Re: Anyone know about the NXstage merger?
Post by: kickingandscreaming on February 25, 2019, 02:06:03 PM
Thank you, Iolaire.  I hadn't bothered to google it myself because my broker told me there was no further information.  I guess he was wrong.
Title: Re: Anyone know about the NXstage merger?
Post by: iolaire on February 25, 2019, 02:09:51 PM
Thank you, Iolaire.  I hadn't bothered to google it myself because my broker told me there was no further information.  I guess he was wrong.
I think some of our members have mentioned the merger in the past.  I'm sure there are worries that invation might be hurt etc...  I wonder how DaVita will respond my center used Fresenius machines but I wonder if they want to regularly commit to by home dialsyis machines from Fresenius versus a third party.
Title: Re: Anyone know about the NXstage merger?
Post by: Simon Dog on February 25, 2019, 03:37:08 PM
Cash only buyouts suck.    They deprive the stockholder the advantage of deciding in which year to realize the capital gain, and deprive stockholders who do not plan to sell the stock in their lifetime of the stepped-up cost basis upon death.
Title: Re: Anyone know about the NXstage merger?
Post by: Paul on February 26, 2019, 04:28:17 AM
Surprised they can do that. When a company I had shares in merged (UK stock exchange, and many years ago) they had to write to us and ask if we wanted cash or shares in the merged company. Of course the cash price/share swap was balanced in such a way that only a fool would go for the shares, but they had to offer.
Title: Re: Anyone know about the NXstage merger?
Post by: iolaire on February 26, 2019, 06:31:04 AM
Surprised they can do that. When a company I had shares in merged (UK stock exchange, and many years ago) they had to write to us and ask if we wanted cash or shares in the merged company. Of course the cash price/share swap was balanced in such a way that only a fool would go for the shares, but they had to offer.

Here in the US they don't need to do that.  Its common that merges are paid to share holders via either stock in the acquiring company or flat out cash.  The shareholders are able to vote on the merger (but us small investors don't count much, the mutual funds and large investors hold a majority of the stock) and the cash price is usually a premium over the rater on the date that the merger/acquisition is announced.

For example Amazon.com acquired Whole Foods a higher end chain of grocery stores with organic and conventional foods, they paid flat out cash for the shares of Whole Foods.