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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Gordon A. Langston who wrote (12893)	8/8/1998 2:21:00 PM
From: Oeconomicus	Read Replies (1) \| Respond to of 164687

Gordon, yours is the second post suggesting that the astronomical stock price is what enabled AMZN to make these latest acquisitions, so this response is to that thought and not specifically to your post. They could just as easily have bought these companies if their stock was at $15 - they would have simply paid much less for them. The biggest reason that these companies sold for the reported price of $280 million is that the sellers were taking overinflated stock that they would have some difficulty in disposing of quickly, especially considering that it will take some time before they even have the shares, much less have them registered for sale. That the stock is so overvalued and could collapse at any time meant that, unless the sellers are fools, they would demand a much higher price for their companies than could ever be justified to a buyer paying cash. That is the only way they could be reasonably assured of realizing anything close to the value they wanted out of their businesses. Bob