SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Worldcom/Wcom
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Hunter Vann who wrote (11)12/18/1996 11:19:00 PM
From: Ted Stevenson   of 26
 
The shorts are quite probably an arbitrage play related to the MFS deal (long MFS plus short WCOM).

The calls are amazing. What surprises me is that it the action is isolated to the January calls, mostly out of the money, whose exercise is just one month away.

I've been in Worldom (formerly LDDS) for over two years, and for the entire time there has been continual speculation that there would be an imminent takeover, etc. During this time, the company kept growing and posting solid numbers in a competitive market. Then, when Worldcom announced the MFS deal, the stock dropped about 20% in one day as all the takeover speculators bailed. My reaction was that it made the company perhaps a better (but more expensive) takeover target. But I figured the ink would be dry on the merger agreement before any serious deals formed up.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News