Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Digital Equipment Corp. (DEC) -- Ignore unavailable to you. Want to Upgrade?

To: Sonny McWilliams who wrote (2821)	1/26/1998 5:50:00 PM
From: rich evans	Read Replies (2) \| Respond to of 3276

Sonny, this depends on the actual agreement. In some there are "collars" which change the deal depending on the stock movements. Rich

To: Sonny McWilliams who wrote (2821)	1/26/1998 7:27:00 PM
From: stock bull	Read Replies (1) \| Respond to of 3276

<<Stock Bull. I went thru several deals like this. You will get 30 cash plus 0.945 shares of CPQ, no matter where CPQ trades when the deal goes through. At least as of today.>> Sonny, you are correct, thats exactly what we will get. However, what will be the price of CPQ's stock on the date we are given the stock? If, and I am saying if, CPQ's stock drops to $15/share, the deal to DEC's investors is than $45/share, not the $60/share that was discussed on all the TV Financial Shows today. Of course, if CPQ's stock were to rise, we would get more than the $60/share. I assume the stock's price to DEC's shareholders will be the closing price on the day this deal closes. So, until the deal closes, we don't know what we will receive...unless we sell before the deal closes. Please let me know if you agree or disagree. Stock Bull