Anderson Corporation announced its intention to acquire Bennett Corporation for $25 per share. For every 5 shares of Anderson, shareholders will receive 1 share of Bennett. The acquisition is anticipated to be dilutive (negative) to Anderson's earnings. Following the announcement, Bennett traded at a discount to the acquisition price due to the risk that the merger may not be completed.
Which pair trade below is likely to be implemented by a risk arbitrageur?
A. Short 5 shares of Anderson for each share held long in Bennett.
B. Short 5 shares of Bennett for each share held long in Anderson.
C. Long 5 shares of Anderson for each share held long in Bennett.
D. Long 5 shares of Bennett for each share held long Anderson.