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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?


To: Arnold Layne who wrote (33136)11/8/1999 11:06:00 AM
From: John F. Dowd  Respond to of 74651
 
Arnold: Is there any collar on the deal? This looks like a good idea. JFD



To: Arnold Layne who wrote (33136)11/8/1999 11:49:00 AM
From: Gerald Walls  Respond to of 74651
 
Anyone know what's up with VSIO, the company MSFT
is acquiring? .45 msft shares for each VSIO. MSFT
can be had at a 7 1/2 point discount if the deal goes
through. Supposed to close in late December last
I heard.


There's always some risk that the deal might be dropped as some part of a settlement, but if the deal goes through it's a good play. Buy 200 VSIO, get 90 MSFT.

That's a juicy enough discount, though, that the arbs must be a little worried about it.



To: Arnold Layne who wrote (33136)11/8/1999 12:43:00 PM
From: codawg  Read Replies (1) | Respond to of 74651
 
The SEC recently asked for more info from VSIO and the "conventional wisdom" is that this marginally makes the deal less likely. I am currently long VSIO for the same reasons that you suggest, but I remember well when I was long Intuit in 94 in a play to get MSFT cheap. Intuit dropped like a rock when the SEC expressed concern and MSFT dropped the deal rather than fight the government (ironic).