Recent

% | $
Quotes you view appear here for quick access.

EMC Corporation Message Board

  • Haf48 Haf48 Apr 29, 2005 2:40 PM Flag

    SunMicro Going private

    Could EMC be planning to buy out SunMicrosystems?
    What would this mean????

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • Hello out there!!! Is anybody Home!!!
      LOL, LOL, LOL

      By Ashlee Vance in Chicago 29 Apr 2005 18:22

      Sun shares surge on 'joke' that firm will go private
      Shares of Sun Microsystems shot up more than 10 percent Friday and then held some of the gains on speculation that management is looking to take the company private. CEO Scott McNealy told one organ that such rumors were much closer to fiction than truth.

      In a gossip column, BusinessWeek cited a "hedge-fund manager close to McNealy" as saying that Sun was hoping to work with Silver Lake Partners to push Sun private with the aim of reemerging one day as a leaner, meaner public company. The rag cited an LBO (leveraged buyout) offer of $5 to $5.50 a share for Sun.

      Sun's former president and current Motorola CEO Ed Zander was recently a managing director at private equity fund Silver Lake Partners.

      Such ties, however, shouldn't be grounds for believing the hype, according to McNealy.

      "Why would a supposedly credible rag like BusinessWeek quote an anonymous hedge fund guy on a totally unsubstantiated rumor designed to spike the stock price?" McNealy asked CNET. "I will bet this hedge guy is laughing his butt off that BusinessWeek printed this as he profits from the $0.42 rise in the price this morning."

      McNealy did not respond to our request for comment at the time of writing.

      Sun's President Jonathan Schwartz was even more blunt in an interview with the AP.

      "It's a complete joke," he said.

      Shares of Sun have languished between $3 and $5 over the past couple of years as the company has struggled to post profitable quarters. Sun's quarterly revenue has fallen dramatically from the dot-com boom times, and it is now trying to replace some lost Unix server sales with new sales of x86 hardware.

      For a long while, rumors circulated that Sun was a potential takeover target, but such speculation largely died down. McNealy made it clear that he was prepared to stick with the company he co-founded for the long haul. Sun has more than $7.5bn in the bank, which puts it in a relatively strong financial position despite stagnant sales.

      Shares of Sun were still up more than 7 percent at $3.70 at the time of this report.

      ****************************************
      And then the rumor EMC/SUNW
      HELLO, HELLO... a lot of fish in the sea!!

    • Satan here...

      You meant Moose and Squirrel would golf during the day and plan sales strategies at nite - together?

      The Tucc and McNutly! We'd pay to see that freak show.

      BTW: Pure BS.

      • 1 Reply to satan_dollars
      • McNealy is a one handicap and played on the Harvard golf team, almost turned pro, and is highly intellectual, led SUN in couple of wrong directions which led to their current struggles.

        Tucci is a fairway hack, members at the International in Bolton MA complain he�s all over the place and hits into people like a bull in the china shop. The same way he runs companies, without any discipline or regard for others. I can see Scott and Joe betting 100 Nauseas, with Joe pressing all the way to the eighteenth. Should be a good show in any case!

 
EMC
26.61+0.56(+2.15%)Apr 17 4:00 PMEDT