Subject: Re: Cash
Date: Mon, 28 June 1999 02:36 PM EDT
From: Bonzo3
Message-id: <19990628143603.03841.00006569@ng-ce1.aol.com>
I too am considering the Dissenters Rights. I read the portion about fair value being maybe less, maybe the same or maybe more.
If I have read Section C correctly (the proxy), there appears to be additional risks involved with this "dissenters rights" procedure. If the company denies the dissenters claim for fair value and it goes to court, the court may decide in the company's favor and spread the legal costs over all dissenters involved. At least that is my interpretation. It seems like one would be taking on additional risks, with a Foreign company seemingly dead set on
paying more than $8.00 share. If one decides to file dissenters rights I would do so only with an attorneys involvement. Know what you are getting into here. No guts no glory? Haven't we risked enough time and money with this company? I for one am not going to try and parlay my $8.00 for $9.00 or more with a procedure I know little to nothing about. Its simply not worth it to me. So give me my $8.00 and lets put this sad chapter behind us.
btw, it was interesting to learn that Jenkins initial talks with Real actually began in Oct. 1998, at a time when TAVA went below $3.00/share. Also, Investment Advisors approached several other companies (earlier this year) about interest in buying TAVA or reaching some strategic partnership (investment) - there appeared to be little interest. After Real made its $8.00 offer, JJ went back to Real to goose the price north of $8.00. Real would have no
part of any additional price negotiations or discussions. Real knows how to play this game better than JJ and JJ caved in. Obviously JJ was dealing from a position of weakness and didn't have a lot of confidence in his hand so he folded. It is possible, that the rosy post-2000 scenario we envisioned for TAVA was, er.... lets say, overly optimistic?. Believe me, if I was CEO of TAVA, and had complete confidence in its future success, (that many of us
shareholders seem to have and discussed at length on these good boards), there is no way a no name foreign company was going to take me out at $8.00/share USD. The fact that they did, coupled with little interest from other domestic IT companies, indicates to me that our optimistic projections were too high. TAVA imo, needed financial resources (cash and financing) to transition, and grow the business post 2000. Further dilution via a
secondary would have further depressed the stock. $8.00 may not be fair but its the only offer that came to the table. I'm taking it and will use it to invest in one of numerous, high growth, shareholder oriented, companies. Good Luck.
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