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Technology Stocks : S1: Doing Business in a Dot Com Depression, -V1 -- Ignore unavailable to you. Want to Upgrade?

To: Kevin A. Lynch who wrote (915)	12/4/2000 10:22:37 AM
From: Oeconomicus	Respond to of 1013

Kman, the 2/3 comment was based on the assumption, valid or not, that V1 and Yodlee are equally valued. 32% (the number I saw Friday) is about 2/3 of 1/2. If part of the point of the deal was to let the combined company burn someone else's cash, then getting diluted somewhat may be a fair deal. Of course, if they aren't equally valued or if S1 is putting in cash, then we have too many unknowns to solve the "is this a good deal?" question. Hopefully, there will be further disclosures. Unlike prior deals where S1 has not disclosed much detail (or nothing at all), I don't think anyone could reasonably argue that this is not material. As for HSR, do the feds ever really have a problem with mergers of companies that are both this early-stage in a market that is equally early-stage? Yes, they dominate in terms of share of the existing market, but the market is just beginning to develop and the barriers to new entrants are basically the same as before. After all, they let S1 buy Edify. They still must go through the process, of course. Regards, Bob