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Technology Stocks : CommTouch (CTCH) : a futur Media Metrix Top 10 ? -- Ignore unavailable to you. Want to Upgrade?

To: Oleg Sogolov who wrote (275)	10/27/1999 8:06:00 PM
From: Robert Rose	Respond to of 420

<I do not get it: sounds like CommTouch is giving away their stuff for a chance to sell some warrants at a cheaper price to Microsoft. The distribution agreement is a good thing where are the potential revenue numbers from this deal?> I can't speak to the revenue issue - I'm as curious as you are about that. But it will be BIG, BIGGER or BIGGEST. <g> Re: cheap warrants, I would hardly call $28.50 a share cheap. In fact, this morning that was $3 above the market price. msft is paying full market value. Either that, or they and ctch believe the stock price is going up very shortly. Or both.

To: Oleg Sogolov who wrote (275)	10/27/1999 10:43:00 PM
From: yzfool	Respond to of 420

Oleg, The deal enhances CTCH's international exposure and growth. The potential revenue stream stems from this global growth, (see the prospectus for detail on revenues). Also, CTCH can now offer MSN messenger and MSFT Passport to their customers creating an even more valuable service. Since the letters MSFT (dow component)carry some weight (understatement), CTCH gave MSFT warrants to buy $20 mil of CTCH shares at $28.5/share until 12/29/99. It could have been less than $28.5/share; I think CTCH bartered well. It's beneficial to all involved that shares appreciate rapidly form here.yz