Deep Digm:
You got some good confirmation of what was heard in the conference call. It could not have come at a better time.
By now you have probably heard the replay and know:
(a) There were three reasons for the desire to reincorporate in Delaware:
(1) Tax ramifications made it more desirable than California,
(2) Delaware has anti-takeover provisions that give more protection against hostile takeover attempts than does California.
(3) The climate for public companies is more hospitable in Delaware than in California. Directors of California companies have become legally vulnerable to being personally sued by shareholders over any forward-looking statement the management of the company may have made. (This was repeatedly mentioned as one reason for the silence of Zitel.)
Also, re the IBM hostile takeover attempt:
The MC (sorry, I forget his name) said this rumor has been around almost since MatriDigm was incorporated. It died out, then came back again about 1/2 way through MatriDigm's development. Died out, and resurfaced a couple of weeks ago. He said, "If I were IBM, I would be looking at Zitel/Matridigm," but he had no knowledge of this kind. He said the rumor has been there for a long time.
Also, as indicated in post #4732, the MC said it "stands to reason" that MatriDigm has held conversations with IBM, and he "believes" that they have. These discussions probably will continue. They will be "working diligently on that." After all, the bulk of MatriDigm's business is in IBM Cobol mainframes, and Brady, Esping, and other employees of MatriDigm have had long and distinguished careers at IBM. It makes sense they would be looking to land IBM as a partner. Peritus is already working with IBM, and there is a lot of "networking" going on.
What a day.
Regards,
M.M. |
