Topic: Growth Stocks

Stock Pickers Digest Hotline – Friday, January 13, 2012

Article Excerpt

PLEASE NOTE: Next week, Stock Pickers Digest will reveal its #1 pick for 2012. Don’t miss this unique opportunity to profit. RUGGEDCOM INC., $24.76, symbol RCM on Toronto, is still the target of a hostile takeover bid from U.S. cable and networking equipment manufacturer Belden Inc. RuggedCom makes computer-networking equipment that is used in harsh environments. Belden recently reaffirmed its offer of $22 in cash for each RuggedCom share. RuggedCom’s board of directors has advised shareholders to reject Belden’s offer. The company has also adopted a shareholder-rights plan. These types of plans are often called poison pills, because they aim to thwart hostile takeovers by letting shareholders buy new shares at half the market price if someone tries to buy more than 20% of a company’s outstanding shares. Increasing the number of outstanding shares makes a takeover more expensive. RuggedCom feels that Belden’s offer is too low. The company is looking for other buyers. In turn, Belden has asked the Ontario Securities Commission to hold…

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