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Technology Stocks : Ciena (CIEN)
CIEN 189.56-0.2%Nov 3 4:00 PM EST

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To: dougjn who wrote (2901)9/11/1998 9:31:00 AM
From: Alec Epting  Read Replies (2) of 12623
 
If TLAB lowers the exchange ratio too much, CIEN will reject the offer. Let's face it, a lot of CIEN shareholders bought the stock in the high 20's. So TLAB has to offer at least that much. I think CIEN will recover significantly by November if TLAB doesn't renegotiate. I don't think TLAB will renegotiate because they don't have enough time to go through the process again. They won't walk away because of the $100M penalty (even if they do, it's a windfall for CIEN). The stock will recover and therefore TLAB shareholders won't have a reason to balk.
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