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Technology Stocks : Tellium

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To: Rock_nj who wrote (67)8/23/2003 6:13:58 AM
From: RockyBalboa  Read Replies (1) of 72
 
The S-4 lists a discounted EV for Tellium stock based on Zhone business development, implying not a real compelling upside:

Estimated Discounted Equity Value
Per Tellium Share of Future

Combined Company Equity Value

--------------------------------------------------------------------------------

Zhone Low Case
Performance

--------------------------------------------------------------------------------
Zhone High Case
Performance

--------------------------------------------------------------------------------

Low
$ 0.72 $ 0.79
High
$ 1.22 $ 1.49

The following table presents the high and low value per Tellium share based on comparable aggregate value/ revenue ratios for the combined company:



Zhone Low Case
Performance

--------------------------------------------------------------------------------
Zhone High Case
Performance

--------------------------------------------------------------------------------

Low
$ 0.74 $ 0.81
High
$ 1.15 $ 1.30
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