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Gold/Mining/Energy : Star Data Systems Inc. (STY,T) -- Ignore unavailable to you. Want to Upgrade?


To: Mitchell who wrote (235)3/1/2000 7:20:00 PM
From: Investor 007  Read Replies (1) | Respond to of 267
 
There is definitely something significant happening here.

I think that Star Data stock is being accumulated by a major player. They aren't driving the price to high levels yet, but as you point out they are always there on the buy side to clear out the overhang. They have been picking up 20 to 50 thousand shares per day for the last 3 or 4 weeks. I expect some time in the not too distant future that they'll announce their intentions.

Speaking of URL, what do you think their stock would do if they teamed up with Star Data? A merger here would make a lot of sense for both companies. It would give STY an internet strategy and would give URL "real company status". After all, sooner or later all of these internet wonder companies are going to be expected to have revenue and earnings. In a market shakeout, the companies that have both will survive. STY and URL should both recognize that.

Even though STY management may not appear to be the shreudest players in the market, there is definitely some talent on the Board. I suspect also that the institutional shareholders must be looking to to increase shareholder value. I recall that last April the chairman said that the timing wasn't right to sell. I suspect he would feel differently today. If not, they should put him out on his ass since the stock has not crossed $6 since he made that statement.