Ciena (CIEN) Message Board

STOCKTALK

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 : Ciena (CIEN)

CIEN 209.52

+1.0%

Nov 12 4:00 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Tom Gebing who wrote (6757)	3/15/1999 7:28:00 PM
From: john dodson	Read Replies (3) of 12623

Thx for the info. A couple of things caught my eye: Point #1: It's interesting that we made a big deal of the "end of the SEC waiting period" a few weeks back. The consensus thinking was that it would free Cien to participate in a merger. The consensus thinking was correct...sort of. Most of us thought Cien would be on the other end of the merger action. That is, most thought that Ciena would be acquired rather than acquire! "Transaction terms: Both transactions will be accounted for as pooling of interests. Ciena will pay 20.6 million and 16.0 million shares of common stock for Lightera and Omnia, respectively." Point #2: There's "no collar" on the purchase. This could be a bigger deal than most think at the moment. That is it kinda gives the market a say in whether the merger goes through. If Ciena share price falls through the floor ( < $20) the deal could probably be called off by either Lightera or Omnia. Anyone know if they are bound to take any price or do they have an out? "Based on Friday's closing price, this values Lightera at $552 million and Omnia at $429 million. There are no collars on either deal." Very interesting. Still a Ciena long, but it may tank in the short term. So brace yourselves! John Dodson

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next