Maybe they belong in my characterization or maybe they don't, but the rumor mongers certainly do. You'll do yourself nothing but harm by listening to rumors. Never, repeat never, buy a stock because it has cash offer potential. In fact, stay away from companies where you hear such whispers.
As far as this NVLS m/a routine, it's been around since at least '96. I couldn't see it then and I don't see anything in it now, and it's getting less probable every day. I wouldn't buy IPEC's patents and equipment because I don't see that it has all that much propriety. In the semiconductor business technological obsolescence is the standard. To make any claim about unimitatable is absurd. .18 micron is no big deal. There are non-CMP technologies about to hatch which take it down to .10 and .01, although the latter is still several years off. The theory pipe is even more filled with all sorts of nanotechnological developments like carbon nanotube conductors. This development might come quicker than previously imagined given the extraordinary rapid number and quality of breakthroughs just recently made.
IPEC and Speedfam. I don't see any fit there and if a bigger player wanted what either has, they wouldn't want to swallow both. Lam is in no position to buy anyone. That is exactly the kind of deal you want to avoid. Failure buying mediocre. That may change given the evanescent history of the business, but without a guarantor for a combining offer, there is no way IPEC and SFAM would merge. That's like Arco and Chevron merging.
You just report the rumor. You should know that that sort of practice can be held liable. In the past the public was not considered responsible for tip or rumor, but that isn't the case now. I suggest that you got these rumor reports not from executives, but from brokerage house analyst's associates or public lingerers. They're far enough down the line that they could feel exempt from SEC retribution. They aren't. |
