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Microcap & Penny Stocks : Zulu-tek, Inc. (ZULU) -- Ignore unavailable to you. Want to Upgrade?


To: Joe Copia who wrote (13787)9/11/1998 10:09:00 AM
From: Jon Tara  Respond to of 18444
 
Denial, and I don't mean the river.

There are still people on the Yahoo Psychic Network still insisting that the ratio could be changed to something better than 10:1.

However, I will say that in this unusual situation - little fish swallowing the big fish (e.g. ZULU has the majority of the assets) it would seem appropriate for ZULU to carry some premium until the merger is completed.

If the merger didn't go through, then the company with the assets is obviously the more valuable of the two.

I think in this case, the premium that is deserved is minimal, because of the ensuing mess that would hurt the company should it not go through. (How do you untangle them, when they have already started acting as one company?)