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Technology Stocks : Qualcomm(QCOM) -> SpinCo
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To: w molloy who wrote (3)7/26/2000 6:10:04 PM
From: Uncle Frank   of 172
 
WM, here's a classic example of the "spinoff" phenomena, which I had the pleasure of participating in last year:

Data Broadcasting (dbcc) was a 50% owner in CBS Marketwatch, a highly awaited internet ipo (the first of 1999 if memory serves). Since mktw was oversubscribed, momos began buying dbcc as a surrogate, and it began running up in mid December '98. As soon as mktw was available, dbcc crashed. Mktw eventually crashed as well, but that is a different matter.

The numbers for dbcc:

           closing    notes
12/15/98:   9 1/4
12/31/98:  17 7/8
01/12/99:  38 7/16    peaked at 50 5/8 interday
01/14/99:  31 3/16    mktw ipo distributed
01/15/99:  21 3/4     mktw starts trading


The graph for dbcc and mktw:

siliconinvestor.com

uf
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