CORE - Core-Mark Holding trading at premium to Performance Food's bid has investors wondering why

Core-Mark Holdings (CORE), which agreed to a deal to sell itself to Performance Food Group (PFGC) on Tuesday in a stock and cash deal, continues to trade at a premium to the transaction price and has since the deal was announced.Trading at a premium to a deal price is not typical as most companies being acquired trade at a slight discount as investors calculate potential concerns such as antitrust risk and shareholder votes. In some cases, deals do trade at premiums, though this is because investors see the potential for a higher bid.Core-Mark is an unusual case as some analysts/investors see higher potential antitrust risk, especially after FTC blocked Sysco's purchase of US Foods in 2015, which some see as a similar transaction. Note also Core-Mark highlighted Eby-Brown Company, a division of Performance Food Group, as a competitor in its 10-K filing. And earlier this month the FTC appeared to have some

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Core-Mark Holding trading at premium to Performance Food's bid has investors wondering why