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Technology Stocks : Ciena (CIEN) -- Ignore unavailable to you. Want to Upgrade?

To: jach who wrote (3259)	9/17/1998 3:11:00 PM
From: L.B.Nguyen	Read Replies (1) \| Respond to of 12623

IMO, there are two ways to buy out a company, hostile takeover by buying it on the market and friendly takeover by agreeing to a price. The problem with buying it on the market is a company has to disclose after acquiring shares up to about 5%(?). Once the news become public that a takeover is being play, the share price will shoot up and who know to what limit. The other 95% shares will become way too expensive to be acquired and also your own stock will drop at the same time, to how low, who know. And there are poison pill program, other competitive bids etc.... way too much problem and headache. Now a friendly takeover will solve most of those problems. I can't think of a better time for any company, CSCO for example, to enter talk with CIEN. CIEN price is at all time low. Shareholders are more receptive to accept a reasonable offer, of at least $25-30. CIEN has the technology for future growth so it will be back on its own feet after a few quarters.