ELI5 on potential Peleton buyout.

Sorry, I really don't know another way to ask this without seeming like a moron. I am investor, but not a trader in any way, shape or form. Meaning, I max out my 401k, ESPP, and put any extra money (outside my emergency fund) into the market. I don't pay any monthly fees as I have a self-directed brokerage account, but generally rely on the advice of my financial advisor. I pick from their bin of “buy” rated stock, research them as best as I can and invest accordingly. So far, I've done very well for a layperson. However, I have recently done a bit a of freelancing, picked a few ponies that they did not have an opinion on. Essentially, things I felt were potentially bargain basement value investments. One of which was PTON when it was around 25$. Now, I read all the potential buyout rumors, but I guess I don't really understand what that could mean for an existing shareholder like myself. Like, if Amazon were to buy it. I'm assuming it would remain as a separate entity and not necessarily convert to Amazon shares. I also read a buyer might pay a premium, so I guess it's all kind of dizzying as to what may come. Any ELI5 information would be appreciated. I apologizes for my ignorance, I am fairly new to the game.


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