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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Art Bechhoefer who wrote (9930)	3/30/2000 8:51:00 AM
From: Michael A. Gottesman	Read Replies (2) \| Respond to of 60323

Art: I believe Veritas ends up with the shares under the deal. I could be reading this wrong. Also, I think SEG owns closer to 3 million shares at this point. Miek

To: Art Bechhoefer who wrote (9930)	3/30/2000 12:07:00 PM
From: Bargain Hunter	Read Replies (2) \| Respond to of 60323

Art, you said: Craig, in my response to Michael, I noted that it now appears that the private buyout group will be acquiring the SNDK shares. I think that no matter who gets the shares in the end, at least some of the shares will be sold to raise cash. The best description of the transaction I have seen so far is in cbs.marketwatch.com This version states very clearly that VRTS will become the owner of the SNDK shares and the rest of the investment portfolio. Earlier versions of the story were less clear. It also indicates that the investment group will pay $2B for the disk drive business and that SEG investors will receive $5 per share plus VRTS stock. There are about 215M SEG shares (per Yahoo profile) so VRTS will not need to raise cash to complete the transaction. It sounds as though they will get a cash infusion of a little less than $1B. It's a pretty sweet deal for VRTS, they reduce the total number of shares outstanding, receive cash without doing a secondary, and get a nice portfolio of stock thrown in too. I doubt that any of SEG's SNDK shares will be sold until the transaction completes, supposedly in the 3rd quarter. After that it all depends on what VRTS's plans are for the portfolio.