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Pastimes : From A to Zeev" -- SI Sacks Zeev

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To: Zeev Hed who wrote (589)2/3/1999 7:46:00 PM
From: orkrious  Read Replies (1) of 708
 
Zeev, I own a software company called ITWO. The sell SCM (supply chain management software). I just received a news alert that they are going to issue converts. The last thing I want is to own a stock whose price is subject to hedging by shorting the stock against the converts, ala Cymer.

I really like the company and would prefer to hold the stock long-term. Their business is flying and they are executing flawlessly. At the same time, I'm bailing if this hedging is likely to take the stock down. Is this hedging always possible? Are there other variables I need to look at when more details are available re the converts?

TIA

Jay
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