All the small DSL stocks I watch are up a lot the last couple weeks. NTPA was just following the rest of the pack.
If NTPA's sales prospects were going to drive the price to 20, that doesn't mean the combined co. would do that. Only a fraction of PROX stock is involved in the buyout, so PROX will mostly move on the basis of PROX's situation and not NTPA's.
And, I think PROX's situation is that they caught the attention of the investor community by their buyout offer, and the investment community said: "Hey, here's a bloated high flyer tech stock that hasn't been taken to the woodshed yet."
And, they decided to take PROX to the woodshed. And, now we are being taken there too because we are joined at the hip.
Anyone know whether this thing is a done deal or not? I would think the majority of NTPA stockholders would want to kill it.
I like the idea, though, that maybe this is just something to catch the attention of another suitor. By agreeing to a deal at an absurdly low price, NTPA provides an entry for another buyer to come in there and considerably up the offer, without having to pay an exorbitant price for NTPA.