Same thing happened to a buddy of mine when the software company he worked for was purchased. The first thing the new owners did was move HQ from California to Texas; they told all the employees, "Move to Texas or you're losing your job." My friend moved. The company rewarded him by cutting his salary in half. He moved back to California in less than a year.
It can work well for example if the relocation is to somewhere you would have wanted to move to anyway, and now you get the company to pay for it. It works less well if you're going somewhere you have no other interest in.
Right. New company basically advertises their character by making the ultimatim in the first place. You already know you won't be treated like a human, since you're already not.