OK - we're talking about this:
(source:
stocksmart.com:8810/ss-news/CX237025.html
)
Laserscope designs, manufactures, sells and services an
advanced line of medical laser systems and energy delivery
devices for the office, outpatient surgical center and hospital markets. On April 24, 1996, Laserscope announced that it
signed a definitive agreement to acquire Heraeus Surgical Inc.
Heraeus Surgical manufactures LaserSonics CO2 lasers, a product
line which has complementary applications in other areas of the aesthetics and dermatology markets.
========================
Sorry - when you were discussing merger, I thought this had
already gone through. Didn't realize it was one and the same
as the information in your post.
There are good mergers and there are bad mergers.
I'd have to do some research, but I don't think all mergers
always got such a bad rap for the buyer, and such a good one
for the buy-ee. Not before "arbitrage" was a household word,
anyway.
Laserscope did *not* take a hit for this announcement. Look at
the intraday on Lombard for the last 200 days. Bascially, after
the buyout announcement, LSCP went from 3.50 to 8.00 per share.
Then, of course, we had the tech sell-off.
The data on a 7-year chart go back to 1990, when the high was
just under $30.00. I'm guessing the bankruptcy was 1991-1992,
where the stock dives to between 3 and 8.
So if LSCP is in an upward trend at all, it is just starting.
The price is at the same levels to which it plummeted.
Other than dilution, which is an obvious "bad," what makes
this buy "bad"? Why do you say: "the market is saying BAD"?
Seems to me we have a potential comeback at the beginning of
its run.
Best regards,
Caroline |
