I think I found an answer to my own question (from ZD Net)....
Corporate reseller Vanstar may be ready to sell itself
By John Moore
08/24/98 01:51:00 PM
Vanstar Corp., which has been pondering for weeks whether to break up the corporate reseller, has received informal proposals from a number of companies seeking to purchase or merge with the $2.8 billion company.
Inacom Corp. (NYSE:ICO) and Computer Associates International Inc. are among those expressing interest in Vanstar (NYSE:VST), according to a source familiar with the company's situation. Comdisco Inc. is interested in the professional services portion of Vanstar, while Entex Information Services Inc. is interested in merging with Vanstar, the source said.
Vanstar in recent months has been pondering whether to spin-off portions of the company or sell it outright as it seeks to boost shareholder value. Vanstar's main businesses are product reselling, professional services and lifecycle services. The company's services operations are its fastest growing and most profitable.
Vanstar earlier this month said it expects an operating loss of $0.20 to $0.25 per share on revenue of $640 million to $650 million for the company's first quarter ended July 31. Despite this, on Friday, Vanstar's stock posted a 14.1 percent increase, making it one of the biggest gainers of the day, according to Reuters.
Vanstar's board may evaluate the various proposals as early as today, the source said. In addition, the company is expected to announce a reorganization into two business units: one for professional services and the other for its product-related operations.
Officials at Vanstar, Comdisco, and Entex declined to comment. Inacom and CA officials could not be reached for comment.
Additional reporting by Mark Mehler.
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