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Technology Stocks : Wi-LAN Inc. (T.WIN)
WILN 1.3900.0%Sep 18 5:00 PM EST

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To: William Whitehead Jr. who wrote (166)5/8/1999 1:56:00 PM
From: Hatim Zaghloul  Read Replies (1) of 16863
 
Good morning Whitey,

It is very difficult to give an expectation of proper valuation especially as I am wearing the CEO hat.

However, we know that Boradband Networks Inc. (BNI) was on track for a CDN $20MM year and was bought by Nortel for about CDN $600MM in January 1998. BNI was in in the business of local multipoint distribution systems which is wireless products operating in frequency bands above 20GHz. I do not think BNI's technology was close to becoming a standard but I think they were close to landing a big contract. In 1998, Amati was bought by Texas Instruments for about the same. Amati developed an asymmetric digital subscriber loop (ADSL) technology that was licensed by a number of the big companies. As you know, ADSL is the high speed data offering of the telephone operators (Telcos). In 1999, Nortel bought Shastra for about the same.

You have to do some homework to see how we compare with these companies. You also have to keep in mind market conditions (both the public stock market and the need for the product of the company). With about 20MM shares fully diluted, Wi-LAN's market capitalization at $5.75 per share is about CDN $115MM.

I hope this helps.

Hatim
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