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Technology Stocks : General Magic -- Ignore unavailable to you. Want to Upgrade?

To: VIPER85730 who wrote (4460)	12/17/1998 11:15:00 PM
From: Sea Otter	Read Replies (3) \| Respond to of 10081

There's a world of difference between authorizing shares and actually putting them on the market. The 100M shares is an authorization and therefore, by itself, has no effect on the market at all (the shares aren't tradeable). Those shares could stay out there for years before being issue, or never be issued at all. I saw this with 3Com. The message behind the authorization is that GMGC thinks there may be some big transactions in its future. But beyond that, I don't see any information, one way or another. Does anyone have any other experience/opinion in this area? Sea Otter

To: VIPER85730 who wrote (4460)	12/17/1998 11:50:00 PM
From: Kurt Goebel	Respond to of 10081

VIPER, You're assuming if they issue the shares they are in the float. If they were sold to partners, they would be held and not traded for as long as the partnerships would run. Big capital partners usually take a stake in their long term partners. I'm expecting this would happen when carriers make the call to go with General Magic. General Magic will be ready to accommodate them and still retain their 60 million share buffer. They have been carrying the right to issue 60 million for some time now. Anyone see the new expanded GMGC jobs posting? genmagic.com

To: VIPER85730 who wrote (4460)	12/18/1998 12:23:00 AM
From: deepresearch	Respond to of 10081

No offense taken. I think the bottom line is we don't know what the company wants the extra shares for. As several people pointed out they could issue plenty more shares today if they wanted to - enough to raise capital from convertibles as before. I guess I prefer to take a fairly positive view on the company's motives - we may not like everything they do but if you are convinced that have no interest in small shareholders then I guess we are invested in the wrong place. One thing you can be sure of is that they realise how much retail investment and interest the company has. I choose to believe that if they stress they want the extra shares authorised to support JVC's and strategic alliances then that is what they have in mind.