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Technology Stocks : THQ,Inc. (THQI) -- Ignore unavailable to you. Want to Upgrade?

To: Jim Fitzgerald who wrote (11104)	6/24/1999 11:10:00 PM
From: JEFFREY S. FENDER	Respond to of 14266

Jim think about it. If some company offered $50 for THQ today. Whose gonna wait around and hope for $51? Unless of course the stock gets bid up because shareholders think it is severely undervalued at that offer price. If THQ got offered $30 tomorrow I would bet all my shares the stock price would go North of $30 in a heart beat. In your other thought assuming there were 12 million shares outstanding and 5 million shares short. The aquiring company would be paying out $50 on 17 million shares as the longs redeem the stock. Then the company would turn around and say hey shorts you owe us some money. Because the company had 12 million shares at $50 not 17 million. The 5 million shorts would turn around and pay the company $50 per share. In any event a buyout always takes time and as someone had indicated it becomes an arbatrage situation where as the short position gets taken care of before the sale is consumated.