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Technology Stocks : Global Crossing - GX (formerly GBLX) -- Ignore unavailable to you. Want to Upgrade?

To: Cosmo Daisey who wrote (841)	5/12/1999 10:14:00 AM
From: AJ Berger	Read Replies (1) \| Respond to of 15615

Juicey Tidbit #1 on GBLX The Frounteir Deal will be closing the Month of October'99. If you check the short position on GBLX you will notice the month before the deal about a 1mil share short, that grew to 4mil share short the month of the deal and then doubled to an 11mil share short position now. This is clearly an arbritrage move, and the arbitragures will likely cover into October'99 when the deal closes. It is safe to assume that the registered shares that can start being sold in Sept'99 will not increase the current 44mil share float significantly, which means when those arbitrasures cover in the Fall, they will be forced to drive up the stock price significantly higher in order to get out of their positions. I discussed this with an investment banker familier with the deal, and he agreed with my conclusions. So holding this stock thru the Fall is a no brainer as long as the deal does not fall apart, which is so far, very unlikely.