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Technology Stocks : CMGI What is the latest news on this stock? -- Ignore unavailable to you. Want to Upgrade?

To: HG who wrote (6323)	3/18/1999 1:51:00 PM
From: Jenne	Respond to of 19700

CMGI Surges After Company Sets 2-for-1 Stock Split (Update3) Bloomberg News March 18, 1999, 10:32 a.m. PT CMGI Surges After Company Sets 2-for-1 Stock Split (Update3) (Updates share price.) Andover, Massachusetts, March 18 (Bloomberg) -- CMGI Inc., an Internet venture-fund company, rose as much as 11 percent after declaring a 2-for-1 stock split, less than a week after saying it didn't plan to do so soon. CMGI shares rose 15 9/16 to 190 15/16 in midafternoon trading. Earlier, the shares, which are up threefold this year, touched 195 1/2. CGMI announced the split late yesterday. Chief Executive David Wetherell said last Thursday that CMGI wouldn't do a split soon, causing the stock to tumble 10 percent the next day. The split may be part of a strategy by CMGI, the largest shareholder in Internet search service Lycos Inc., to oppose the takeover of Lycos by USA Networks Inc., some analysts said. Wetherell has said that one option is to buy Lycos. The Andover, Massachusetts-based company could be ''looking to strengthen CMGI's currency to make an acquisition,'' said Ullas Naik, an analyst at First Albany Corp. in Boston. A larger market value would make that easier, he said. Investors have been snapping up shares of Internet companies once splits are announced on the belief that they'll soar even higher because of their more affordable prices and optimistic growth prospects. Existing shareholders still own the same percentage of the company's stock after the split. That's been the case with CMGI. The company's shares continued to climb after it split its shares in January. Last month, Wetherell pulled his support for the USA Networks purchase, saying the terms of the agreement weren't favorable to shareholders. CMGI hired an investment banker to seek alternatives and other bidders. USA Networks, the media company run by Barry Diller, plans to combine Lycos with USA Networks' home-shopping and other electronic-retail businesses, and give Lycos shareholders 30 percent of the new company. CMGI owns 18.5 percent of Lycos. Even so, ''there was a retail component that was expecting the stock to split, so my suspicion is that'' prompted the decision to split the shares, said Naik. CMGI will split its shares May 27 to shareholders of record May 13.

To: HG who wrote (6323)	3/18/1999 1:54:00 PM
From: Ken	Read Replies (1) \| Respond to of 19700

DW is going to own LCOS soon enough. (the following is just my theory) He is putting the afterburner on CMGI (to the short-term benefit of the stockholders) to quickly add to the market cap. He can liquidate bits of CMGI stock so he can pick up portions of LCOS here and there on the open market. LCOS will probably flounder as it awaits a settlement on the USA deal. Come July, CMGI just may be the largest shareholder of LCOS! Now who says USA will win? What would really make this interesting is if Mr. USA Networks starts buying chunks of CMGI to gain control! :)