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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Johnnie W. who wrote (34172)	3/12/1998 7:07:00 PM
From: SuperSonics	Respond to of 176387

You mean DGN not DCN

To: Johnnie W. who wrote (34172)	3/13/1998 3:37:00 AM
From: Bilow	Read Replies (2) \| Respond to of 176387

Hi Johnnie W.; Regarding the mysterious reasons for DELL setting up a borrowing facility of $500MM: biz.yahoo.com If you read their recent press release of February 18, 1998: biz.yahoo.com Dell continued to set the pace for the industry in managing its assets. The company generated $590 million in cash from operations during the fourth quarter, ending the year with $1.8 billion in cash and marketable securities. it is clear that the company has no use for another $500MM in cash, especially with the computer industry set to start a vicious price war. On the other hand, its just the right amount to put a tender offer for Data General (DGN) at about $50 per share (recently trading at around $20) Data general profile: biz.yahoo.com Market Capitalization $876.7M As an acquisition, DELL would have to pay something in excess of double the current market cap of DGN, that is just in the range of what a $500MM borrowing would be useful for. The evidence looks very compelling to me. I think I will buy DGN calls tomorrow. -- Carl