Tim, with respect to your question about whether anyone remembers what Bob Brinker said purchasing shares of AT&T's wireless tracking stock (Ticker: AWE), I consulted my past Interprettations and indeed, he did. Shares of AWE started trading on April 27th. A caller asked Bob on April 29th about the IPO market, and Mr. Brinker said that he thought one triumph was AT&T wireless; however, he didn't disclose that he had purchased shares at that time. The following weekend though, Mr. Brinker disclosed that he had in fact purchased shares of AWE at the initial public offering price. Unfortunately for Mr. Brinker, the shares have basically gone only down, so it certainly is not one of his better stock picks. Here are the excerpts from my Interpretations relative to this question.
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From April 29, 2001 Interpretation:
Caller: What do you think of the initial public offering market in the next few months. Bob thinks the IPO market is in "shambles" right now as a result of the tech stock debacle. Bob though that the one triumph was the AT&T wireless IPO. Elizabeth wanted to know specifically if a biotech IPO would be worthwhile. Bob thought it might be worth looking at, but overall that sector has done very poorly lately.
EC: AT&T's wireless tracking stock (NYSE: AWE) priced at $29.50 at its initial public offering which brought in $10.62 billion in proceeds from the 360 million share deal ranking it as the largest U.S. IPO ever. The stock opened at $30.13 per share, so you could have purchased it on the open market for only .63 cents more than the IPO price. It closed Friday at $31 15/16. After the offering, AT&T retains about 82.5 percent of equity interest in AWE and plans to use about $7 billion in proceeds from the IPO, plus an additional $5 billion credit line, to acquire, upgrade, and expand its network, Until recently, AT&T was the largest wireless carrier, but now that Bell Atlantic, and Vodafone Airtouch have merged, AT&T will no longer be the biggest wireless company in town. See article for more:
redherring.com
From May 6, 2000 Interpretation:
Brinker Comment/EC: On Sunday's show, Bob mentioned that he purchased shares of the AT&T wireless spin off (Ticker: AWE) at the initial public offering price. For those of you who like to purchase stocks that Bob owns, Bob paid $29.50 at its initial public offering. It closed Friday at $30 1/2 so you can pick it up for only $1 more per share than Bob paid.
If you want to read the rest of one of those Interpretations, drop me a line. |
