Valuing Massey’s Produced Coal Unit

Seeking Alpha reported on the takeover of Massey Coal (NYSE:MEE) by Alpha Natural Resources (NYSE:ANR).

The editorial is quoted as saying:

The announced takeover is around a 26% premium to our estimated value for Massey, and the current market price is just about 10% below the proposed takeover price implying that the market is pricing in a small chance that this deal does not go through at the proposed price.

To read the full editorial, click here.