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

To: KM who wrote (887)	5/14/1999 2:53:00 PM
From: Tlac	Read Replies (1) \| Respond to of 15615

KM: Please elaborate on your comment that no shares are available to short, i.e. just how significant is this, and what does it signal to you about current demand for GBLX? Kelly

To: KM who wrote (887)	5/18/1999 11:28:00 PM
From: Teddy	Read Replies (3) \| Respond to of 15615

Tender Offer: who can figure this out for me? (Truff should know. She's smart.) biocognizance.com ...Faber reports, GBLX will purchase 39 million shares as part of the tender offer. Part of these will come from insiders. This action is required because GBLX has only 40 million shares and it is essential that they keep some shares trading publically... OK, we know Faber meant US West will purchase the 39 millions shares and there are 40.2 million shares outstanding. The PR monday said "The tender offer will commence within five business days and is expected to be completed next month." Now here's my questions: Forgetting the "part of these" that "will come from insiders," how does this transaction actually take place? Will the bid on the Nasdaq suddenly be locked at $62.75 until they have all the shares they are buying or is there a process for stockholders to send in their shares? Second question: If such a large percentage of the float is being tendered for $62.75 in such a short period of time, why would anyone sell this week for significantly less? Third question (most important): I've always believed there could be no short squeeze because the majority of the shorted shares are just arbs that are backed by FRO shares that will (they hope) be converted to GBLX. Well, they ain't converted yet, so when the shares they "borrowed" are tendered (removed from the float) would they then only have 3 days to "find" shares to replace the ones they borrowed?