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Strategies & Market Trends : The Thread Formerly Known as No Rest For The Wicked -- Ignore unavailable to you. Want to Upgrade?

To: Tim Luke who wrote (71408)	11/10/1999 11:07:00 AM
From: macduff3	Read Replies (1) \| Respond to of 90042

They believe the stock is undervalued. Buy it back, restucture it, sell this division, sell that subsidiary, repackage it, IPO it and get rich quicker.

To: Tim Luke who wrote (71408)	11/10/1999 11:08:00 AM
From: Ivan	Read Replies (1) \| Respond to of 90042

Some possible answers. The stock is highly undervalued, and is tightly controlled (little institutional interest), and the majority owners are tired of having to behave in a "public" way. Not meaning they want to do something illegal, just that being public requires always thinking about how the street will view a move in the short run versus what management thinks should be a long term view. The company has a high amount of cash, and the current share value is largely based on real assets. Makes them a take over target. The company wants to reposition itself, say from a supplier of 3d Graphics chip sets to wireless telecom IC's, and the street would crush the share value during that process making hiring and retention difficult - plus the company has a financial backer who they can get the money from. A couple of ideas anyway.