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Technology Stocks : AremisSoft Corporation (AREM) -- Ignore unavailable to you. Want to Upgrade?

To: Dale Baker who wrote (121)	4/3/2001 1:10:08 PM
From: Bob Rudd	Read Replies (1) \| Respond to of 683

Mentioning SAP - they recently indicated their European biz was strong. Also note that AREM beat SAP for this business. If I was running a mid-size biz, I'd look to AREM over SAP because SAP has had so many blow-ups. AREM's is simpler so company-killing blowups aren't happening. I'm surprised an Oracle, SAP or other big ERP/CRM player isn't making a run for this...even at 3x today's price it would be accretive, defensive and enhance strategic position. In his book, Innovator's Dilemma [insightful, must-read,IMO] Christensen talks about innnovations that started modestly then moved upmarket to become leaders. I think AREM has the potential for this. Regarding insiders, one aspect that may take the curse off this is the tax situation the co-founders face. Tax provisions may have put time limits for sales activity or other constraints that affect selling but have nothing to do with the business. Another aspect is that the trust may have a set of predetermined rules that guide it's management that call for diversification. These trust guys are often EMH driven in their decisions and thus may sell a grossly undervalued equity to diversify because they believe the market is efficient and all stocks are thus fairly valued. Sounds crazy but it happens.