Skip to main content
Message Font: Serif | Sans-Serif
No. of Recommendations: 0
The one thing that does make this one difficult to evaluate and recommend is the recently announced merger with Ciena. Large mergers of high tech companies do not seem to have a great track record.

Well, I have a good contact who is an engineer at Ciena. Just talked to him and pretty much everyone there is very bullish on the merger with Tellabs. They expect good things to come from it.

I would mostly be concerned with them chasing the giant that is LU, but from what I understand Ciena's bit of this is quite a bit more advanced than anything LU has. Of course, my information has been fairly one sided :).

Has anyone considered purchasing the cheaper of the two companies (Tellabs and Cienna)? The merger, which doesn't appear to be facing any hurdles, is a 1:1 stock trade. Picking up the cheaper of the two (currently Ciena, and likely to stay that way) might be a strategy. Of course, if the merger fell through for some reason, Ciena shares are going to tank. It's been a very volitile stock traditionally and is pretty close to the 52-week high right now.

Print the post  


When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.