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Technology Stocks : Pure Atria Corp(PASW) and Rational(RATL) Merger

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To: Randy Ellingson who wrote (37)4/10/1997 5:38:00 PM
From: joel sherriff   of 147
 
>It ain't worth $1.5 Billion, guys. RATL would be better off to sell some stock, generate cash, and build a PASW killer product. How long will it take to put back $1.5 billion in shareholder value?

We'd be talking about a whole product line, not a product. That would take a considerable amount of time and Pure's products would be technically hard to beat. They didn't choke 'cause they don't have good products, they failed to sell them. I think the value will be back soon (or at least I hope it will) - (IMHO) one of the reasons for the failure to integrate the Pure and Atria sales forces was the mentality in use. The merger of Pure and Atria was not only a "merger of equals" for accounting purposes. The name says it all. If you listened to the conference call, you know that this also might be called a "merger of equals", but in reality, Rational is consuming Pure Atria and will make Pure Atria's products Rational's products and things are going to get done Rational's way. Personally, I like it.
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