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 : C-Cube -- Ignore unavailable to you. Want to Upgrade?

To: J Fieb who wrote (33954)	6/21/1998 3:47:00 PM
From: John Rieman	Read Replies (2) \| Respond to of 50808

Can someone explain number 9 That's a hard one to explain. If they buy-back shares, and later buy a company with shares, they can't use pooling of interest tax considerations, a big disadvantage. If they buy back shares, Does it hurt a take-over defense? I'm not sure, robt justine would know. But I can tell you that there is no-way C-Cube can make $.24 per share on just $81M in revenue.

To: J Fieb who wrote (33954)	6/21/1998 7:42:00 PM
From: CPAMarty	Read Replies (2) \| Respond to of 50808

How does a stock buy back impact a takeover attempt? Maybe CUBE thinks in terms of paying off the convertible debt when it thinks of a stock buyback Buying back CUBE's $86,250,000 of convertible subordinated notes might hamper in protecting themselves against any hostile takeover because, if they don't pay off this debt, an acquiring company would have to buy back approximately 3 million more shares if the takeover price was over the strike of $30/share (price that the notes can be converted to stock)