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Strategies & Market Trends : ahhaha's ahs -- Ignore unavailable to you. Want to Upgrade?

To: Keith Monahan who wrote (5171)	8/9/2002 10:24:14 AM
From: ahhaha	Read Replies (1) \| Respond to of 24758

Are you surprised that there isn't more consolidation in the telecom equipment sector with a number of quality companies (SCMR, CORV, RSTN for example) trading at or below cash value? That they are trading at cash implies they have a good pile of it, so aren't inclined to seek merger, and would rather go it alone(at least as long as the cash holds up) I'm not looking for takeover targets, I guess I'm more curious as to why the CSCO's of the world aren't being more aggressive. CSCO stated that they intend to be exactly that, aggressive, but they have to be careful since any of these deals could be a bomb. CSCO avoids buying public companies.

To: Keith Monahan who wrote (5171)	8/9/2002 12:53:10 PM
From: Ahda	Read Replies (1) \| Respond to of 24758

biz.yahoo.com If you Wonder? Charter Communications (NasdaqNM:CHTR - News), pondering whether they would be better off taking themselves private -- and off the market. "The field is wide open," says Stephen A. Schwarzman, president and CEO of the Blackstone Group, an investment bank with $14.5 billion for private-equity investments. Then you Wait? At the same time, the failure of acquisition-fueled growth strategies of such '90s players as Tyco and WorldCom have made many execs queasy. "Today, you get whacked on Wall Street if you announce a large acquisition," says Mark A. Ernst, CEO of H&R Block Inc. (NYSE:HRB - News), which is adopting the "lower-risk proposition" of buying back its own shares. Indeed, Gregg Polle, managing director and co-head of the M&A Group at Salomon Smith Barney, argues that "company-defining" deals will be avoided until their stock prices rise and until target companies get through the next audit cycle, perhaps by next spring. Then you Win? Some buyout firms -- even those attached to publicly traded banks -- have begun to pounce on distressed assets. One Equity Partners, which manages $3.5 billion in capital for Bank One Corp. (NYSE:ONE - News), has been on a tear lately, for example. It paid just $255 million on July 31 to help buy Polaroid Corp. out of bankruptcy, a price so low that Derek Jarrett, a former vice-president for international operations at Polaroid, says he was "horrified" at the sale. One Equity Partners, trolling for more such bargains, declined to comment