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Technology Stocks : BORL: Time to BUY! -- Ignore unavailable to you. Want to Upgrade?

To: i-node who wrote (7462)	11/18/1997 10:34:00 AM
From: Jack Gibson	Read Replies (2) \| Respond to of 10836

David: I am not questioning the wisdom of the acquisition, only the time that it will take for it to show an addition to earnings. The stock doesn't worry me. The Jan and April options do. Is there sufficient time? I believe that BORL has about 36 million shares outstanding. Issueing 12.5 million more is a 33% dilution. That will knock hell out of the present stock price. It weill take some time....maybe many months to recover. After all VSGN lost a good deal of money ....some 20 million (12.5 million of that was due to acquiring some technology) on revenues of 17 million. True they had 6 million in revenues in the preceeding year, but again, how long will it take for Yocam to merge the two companies, how much of a charge will he take, and how long to get VSGN profitable? Thanks, Jack Gibson

To: i-node who wrote (7462)	11/18/1997 10:44:00 AM
From: John	Read Replies (2) \| Respond to of 10836

David, irreguardless of whether this is a smart aquistion, the deal will not be closed until next year. In the short run, people will sell short BORL and buy VSGN to lock in profits in the difference of the two prices. Both stocks will start to errode, especially if this few day general market rally reverses. As the price errodes more people will sell, happy to wait and see what happens in 6 months after the merger, and see if they are going to continue to make money. I agree the Jan 10's and April 10's are shakey. I closed out mine last week and this week. Yesterday I tried to write some Jan 12.5 against my Jan10's but nobody would buy them at 1 1/16. I dumped my Nov 12.5 at 25 cents yesterday. I had the same thing happen to me in a stock call GTIS. A game company that I had bought at 7.5 and had just hit a high of 12 3/4, they announced a takeover, the stock fell to 11 that morning. Over the next several weeks, the stock ground its way down to 8 1/2. I think they are a great company, and will kick butt in the long term, but until the cloud of the merger is resolved, the stock is dead. Just my opinion of course. I do think by the end of next year BORL will be doing extremely well. I am holding 2000 shares and 20 VOBAB. I wanted to thank you for the suggestion to buy WOBAB on this thread a long long time ago, I doubled my money on your advice. Thanks, JV..

To: i-node who wrote (7462)	11/18/1997 3:38:00 PM
From: Graham Wideman	Respond to of 10836

David and all: This marriage appears to make a lot of sense to me (though who knows what the dowry should be?). Though BORL has indeed just announced support for CORBA in a major way in JBuilder, it's not just about Borland needing the technology for use in their own product(s). It seems smart because it packages together in one company (and facilitates better integration and development of) a significantly larger chunk of the technology that internet/intranet commerce is hungry for.... making the combined outfit more powerful. BORL is already very plausible as a member of the list of leading Java visual development environments. This deal has the potential to differentiate BORL from other Java-Plus vendors like Symantec, Sybase/Powersoft, Metrowerks etc. There was a "going against Microsoft" comment earlier on the thread. Yeah but... in the relational arena, a role analogous to CORBA is played by SQL... not an MS standard (though admittedly aided by ODBC). Any thoughts on how this looks from the Oracle perspective? I think it makes BORL look like a more respectable partner, more convincingly going in a direction beneficial to Oracle. If Oracle had/has any acquisition ideas, they lose the opportunity of assembling these particular pieces themselves, and would be expecting to pay a higher price for the combination if the marriage works. Graham