Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Thread Formerly Known as No Rest For The Wicked -- Ignore unavailable to you. Want to Upgrade?

To: HandsOn who wrote (43513)	5/20/1999 9:20:00 PM
From: stan s.	Read Replies (1) \| Respond to of 90042

Premiere Tech stock jumps on stake in WebMD Thursday May 20, 8:44 pm Eastern Time NEW YORK, May 20 (Reuters) - Premiere Technologies Inc. (Nasdaq:PTEK - news) shares jumped as much as 16 percent Thursday on speculation about the value of its holdings in WebMD, which has agreed to merge with Healtheon Corp. (Nasdaq:HLTH - news) Premiere stock gained as much as $20.87, up more than $4 before falling back to close at $17.94, up $1.62 on the day in Nasdaq stock market trading. It was the second most active issue on the Nasdaq. Bob Zwerneman, head of investor relations for Premiere, confirmed his company holds equity in WebMD, but would not comment on the exact value, citing an apparent inconsistency with the exact value of that stake. SEC documents filed in late January showed Premiere as owning 2.1 million shares, or 12.1 percent, of the capital stock of WebMD, an online health information site. But as a result of Microsoft's tender offer to WebMD holders announced as part of Healtheon's takeover deal, Premiere's ownership could run as high as 2.9 million, he said. But he said the exact amount was as yet unknown. ''The question remains. Whatever happened to the tender that Microsoft had (coming) to all capital shareholders?'' Zwerneman said. ''And as part of that tender process there had been a dividend declared that would have added something like another 800,000 shares to Premiere.'' The exact value will remain unclear until Microsoft and WebMD disclose the structure of their side deal, which preceded Healtheon's pact to acquire WebMD, which analysts estimated was worth $5.5 billion. Neither Healtheon or WebMD gave an exact value for the deal, but the swap will give the shareholders of each company 50 percent ownership of the combined entity. Healtheon was also one of the biggest leaders in Nasdaq trade, with shares jumping more than $20, or 25 percent, to close at $100.62.