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Technology Stocks : IDT *(idtc) following this new issue?* -- Ignore unavailable to you. Want to Upgrade?

To: Andrew H who wrote (4796)	4/12/1999 9:38:00 PM
From: Marketeer	Read Replies (2) \| Respond to of 30916

A New Backdoor IPO Behavior? Having backdoor IPOs as my main trading vehicles, DLIA surprised me. As far as I know, they are the first parent company so far not suffering from immediate sell-off after their subsidiary spin-off. I shorted them last Thursday in anticipation of DBCC or ZD like drop, but ended Friday covering with minute profit, luckily. I can surmise several reasons for this "misbehavior". (i) The market is finally getting efficient. Not likely. Look at ZD/ZDZ. (ii) Strong Internut buying May be. (iii) MM Manipulations Possible. As the trend repeats, more and more shorts jump on, cutting the float. (iv) Structure of the spin-off and synergistic bonds I recalled reading somewhere that TURF remains somewhat dependent on DLIA for certain corporate functions like marketing. (Can't find the link for that article.) Could it be the synergistic factor? TURF gathers the traffic and DLIA markets and sells them merchandise? It remains to be seen whether DLIA can stay afloat. But this precedence bodes well for IDTC. Beyond the pure ownership bond, N2P absolutely depend on IDT's physical network. N2P can't function without IDT. Post-IPO, IDTC may be very well behave more like DLIA than DBCC. Let's look at MarketWatch closer. It's main offering is the editorial publications, not the commoditized market stats DBCC supplies it. MarketWatch can always choose another stats provider. I believe the degree of real business coupling between the parent company and their spin-off warrant further studies to help us better understand and anticipate post-IPO price movement. I don't think it's the only governing factor, but an important one. Marketeer

To: Andrew H who wrote (4796)	4/13/1999 3:21:00 AM
From: blankmind	Read Replies (1) \| Respond to of 30916

i checked out the yahoo board. talk about desperate for some dreading another day of higher highs, and higher lows. many are pinning they can re-enter at a lower price or idtc will collapse under the voclf earnings adn some late trades at 29.5. sort of reminds me of coms. speculation is that since coms is not growing, csco is growing at coms expense. instead of the whole sector tanking, when people know the sector is expanding, they look to invest in who is taking whose lunch. it would seem, idtc could benefit if they are viewed as taking biz from voclf.