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Strategies & Market Trends : Anthony @ Equity Investigations, Dear Anthony, -- Ignore unavailable to you. Want to Upgrade?

To: Anthony@Pacific who wrote (42881)	8/21/1999 12:56:00 AM
From: bob	Read Replies (2) \| Respond to of 122087

Sure... and my Dad can beat the hell out of your Dad. And the end result is...?

To: Anthony@Pacific who wrote (42881)	8/21/1999 1:25:00 AM
From: TheLineMan	Read Replies (1) \| Respond to of 122087

What's you're impression of the warrant deal between CMGI & IMAA. To me it confuses the issue. But here's my theory. CMGI knew IMAA would rise on the investment - and it gives them plenty of protection on their investment in buyingedge.com with the warrants. But if IMAA is above $4, CMGI & partners will effectively get 7% of IMAA and another 5% of buyingedge.com. At $6.50 it looks like CMGI & partners get 15% of IMAM and another 16% of buyingedge.com plus a paper profit of $1.75mil. The real winner seems to be CMGI here. IMAA can get cash thru the exercise of the warrants, but the dilution is pretty heavy considering it is trading at $10 now. How do you analyze something that appears to be feeding upon itself? By that I mean the stock is up because of CMGI involvement in buyingedge.com. But the exposure for IMAA allows CMGI to feed off its warrants in IMAA which in turn gives CMGI paper profits and gives CMGI more of buyingedge.com and 20% of IMAA. This venture capital business looks more profitable than some of these discount convertibles.