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Technology Stocks : TAVA Technologies (TAVA-NASDAQ) -- Ignore unavailable to you. Want to Upgrade?

To: Patrese who wrote (30313)	4/13/1999 4:42:00 PM
From: JDN	Read Replies (1) \| Respond to of 31646

Dear Patricia: Thank you on behalf of all of this and Motley Fool thread (I plan to transfer your post there) for your hard work and perserverance with your broker in tracking this down. If I may add slightly, IMHO this is even more insidious than it first appears. If in fact these people intend to go ahead with a real offer, it is my judgement that part of the strategy is to make it APPEAR that their second real offer (still at a lousy price) is a substantial increase over the former and thus a good offer when in fact it is NOT. Be wary, be careful and dont believe a damn thing these people say. I just hope that the TAVA management get involved here and give us some guidance if this progresses. The good thing that MIGHT come out of this is if Management should fight a later offer they will need to tell us just how great TAVA is to discourage a sellout. JDN

To: Patrese who wrote (30313)	4/13/1999 6:03:00 PM
From: Karl Drobnic	Respond to of 31646

Patrese: The initial copy of the tender that I have is dated April 6. That's the day TAVA dipped below $4. So Growth Capital was offering significantly above market value when the tender began. We then had 3 straight days of volume over 700,000 shares. The price breached $5.50 on April 9 and fell back at the close. So over 2.1 million shares traded on the way to $5.50. Thus, if Growth Capital is trying to lure out stock from uninformed investors, they did so at a substantial premium to the April 6 market price. Unless they have a complex strategy, it is hard to see how starting a tender offer at 37% above market price is other than a valid offer to own shares at $5.50. Of course, there can always be more here than meets the eye, but right now, it has worked as the catalyst to get the shares out a very bearish pattern. If we test $5.50 and hold support there, I'll be ready to assume that the tender effect is pretty much over, and we'll see if the upcoming institutional presentations can give us more juice.