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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: peter michaelson who wrote (10955)	7/16/2000 11:44:18 PM
From: James Clarke	Read Replies (2) \| Respond to of 78830

re: COMS/PALM arb In theory that works, but in theory you can short PALM. Try. Also, Barrons outlined an absolutely diabolical employee stock options agreement today. I don't understand exactly what the parameters are, but it seems that you could be talking about 70% dilution. That's enough to wipe out any arb discount. Exiting the world of theory, the real arb play here may be just to buy the stub when-issued before the crowd figures out how undervalued that piece is. Though once again, make sure you understand the options dilution dynamics. I can't say that I do at this point. If anybody does, can they explain it briefly for us?