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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: sunfish who wrote (54640)	9/24/1998 7:43:00 AM
From: Souze	Respond to of 61433

Sunfish, I agree with you that a previously negotiated buyout makes no sense, and that .7LU share price makes no sense either. I do expect Lucent to make an offer, and Ascend to be receptive. My only fear is that, with each side having had so long to think about what they want/expect from the deal, one or the other may be entrenched in some idea. I hope not, or at least that they can work it out. I don't expect an announcement until after Ascend reports earnings and sale of some/all excess Stratus components. It makes sense to me that Lucent would want Ascend to look very good to their(LU) stock holders when the deal is announced, because the price will be high - 1 for 1 or close to it IMO. Souze

To: sunfish who wrote (54640)	9/24/1998 7:53:00 AM
From: Terry Audette	Respond to of 61433

While I believe that ASND could not only survive but thrive on its own, IMO if LU does do this it will be on a 1 to 1 basis. That would be approx. 10 times sales which would be appropriate for this transaction. This would not be a buyout of a wounded company like BAY but rather a takeover of a profitable leader and ASND's billion in cash eases it.