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

To: Spekulatius who wrote (19005)	3/30/2004 9:57:32 PM
From: cfimx	Read Replies (1) \| Respond to of 78750

Spek, with all due respect, you have to go DEEPER in your analysis of these companies...glbc has 40m common shares. (In addition, ST Telemedia’s subsidiary holds 18,000,000 shares of restricted preferred stock in New GCL, which are convertible into shares of New GCL’s common stock on a one-for-one basis.) STT holds a preferred that is COMMON EQUIVELANT...so it looks like 1.2 million shares could be issued someday given 2.2m options are way way out of the money right now. as for comparing price to sales ratios, that's not going to get it done either. These companies have different business models, different capital structures, different maturity levels, (comparing icgc and gx to algx is silly) different opportunities...If you go off and read a little bit about what xo (and others) had to say about its purchase of algx (the synergies) you will understand why algx might have been more valuable to XO (far more) than to any other bidder. For starters, because the two are highly complementary, they can cut upwards of $160m out of the combined cost structure. That's for starters. Carl Icahn is an extremely savvy buyer of corporate assets. It is highly unlikely he overpaid for a company he bought out of BANKRUPTCY.