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Technology Stocks : Data Broadcasting Corp. (DBCC) -- Ignore unavailable to you. Want to Upgrade?


To: 613 who wrote (4987)11/15/1999 5:01:00 PM
From: Minos  Read Replies (2) | Respond to of 5102
 
Hmmmmm....Does anybody really know what the hell is going on? I cashed in my calls this morning for a nice profit...but the announcement and the ramifications of the merger are too confusing for my feeble mind. If anybody has some insight, please share.

As I see it, there will be significant dilution. However, DBCC had revenues of some $108 million for the fiscal year ended June 30, 1999. From the release, "the combined business is expected to have pro forma revenues in 1999 of some $320 million." That's a huge increase. Plus, there are still synergies and cross marketing opportunities between all the entities that should accelerate revenue growth. Should...that is.

Bottom line....I don't know. That's why I took profits. The Street voted thumbs down today, but that could change in a heartbeat. There are still the four potential IPOs, as well as earnings out imminently. I would expect more volatility in the future as things pan out.

If anybody can clarify anything, please post.

-Minos