I have a hard time believing the so-called IPO ratings of ZOOX versus BRCD, especially since ZOOX gross margins are only 24% versus BRCD gross margins of 45-55%...and the word on the street is that COMS discovered ZOOX technology to be lacking, otherwise COMS would not have been on the verge of finalizing an OEM and possible equity deal with ANCR before the COMS BOD pulled the plug on COMS FC/SAN project. I also disagree with your theory that ZOOX underwriters have better clout vs BRCD underwriters. IF you study the IPO market for technology companies in the past several years and in particular, the past 2 years, you will find BRCD's underwriters to be WORLD CLASS. You cannot get much better than having Morgan Stanley Dean Witter, BT Alex Brown and Dain Rauscher Wessels behind your IPO.
Got to IPOdata.com and look up who the underwriters were for such hot/successful IPO's as BRCM, VIGN, TUTS, WEBT, PCLN, COVD, MRBA, etc..Do you see a pattern?? If/when BRCD opens, I would not be surprised to see BRCD skyrocket and the possibility of it lifting all Fibre Channel boats is better than the odds going in of Charisma winning both the Kentucky Derby ( 30-1 ) and Preakness ( 8-1 ). Look at what the Copper Mountain ( CMTN ) IPO did for TUTS this past week, as CMTN drew the Market attention to all ADSL plays.
ps- street rumor is that BRCD could price as soon as May 24 as road show winds up in NYC. If there is any hold-up beyond May 24, it might be due to SEC backlog. For example WEBT IPO roadshow was complete and the IPO locked and loaded but waiting for final SEC approval took 2 extra weeks. |
