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Stocks J / Johnson Controls, Inc.

URL:  https://boards.fool.com/nag-my-understanding-is-that-the-32320276.aspx

Subject:  Re: Tyco Merger Date:  7/18/2016  5:04 PM
Author:  gadesh Number:  492 of 498

Nag,

My understanding is that the "merger" should be thought of as a sale and a (subsequent) repurchase.

So, there is a tax consequent for long term holders. The cost basis for the "new" company will be based on the repurchase price.

Hope this helps.
Gadesh.
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