Not too late to make small profit on BEA sale

analysis
Jan 16, 20081 min

Yeah, you (and I) missed the big money on Oracle’s takeover of BEA Systems. BUT, if you have some spare cash handy and low trading costs you can make a guaranteed 4% to 5% on the deal if you move fast. That’s because the stock is trading at a small discount to the offer price of $19.375 a share. No, that’s not a lot of money unless you have a fairly good chunk of cash to put in, but given the state of the market

Yeah, you (and I) missed the big money on Oracle’s takeover of BEA Systems. BUT, if you have some spare cash handy and low trading costs you can make a guaranteed 4% to 5% on the deal if you move fast. That’s because the stock is trading at a small discount to the offer price of $19.375 a share.

No, that’s not a lot of money unless you have a fairly good chunk of cash to put in, but given the state of the market it’s like buying a CD only better because you’ll only pay taxes on the gain. The deal will close later this year and Oracle will circulate the tender offer to shareholders.

I welcome your comments, tips and suggestions. Reach at me at Bill_Snyder@infoworld.com