$23.25 on 137K volume. Up 1%. ~25% Institutional per Iwatch.
NEC Corporation Exercises Warrant to Buy Active Voice Corporation Common Stock
PR Newswire - November 18, 1999 16:15
SEATTLE, Nov. 18 /PRNewswire/ -- Active Voice Corporation (Nasdaq: ACVC), a world leader in PC-based voice processing, unified messaging, and computer telephony software solutions, today announced that NEC Corporation (Nasdaq: NIPNY), its largest customer, has exercised its warrant to buy restricted Active Voice common stock.
Earlier this year, NEC and Active Voice signed a loan and investment agreement that granted a warrant to NEC to purchase up to 500,000 shares of Active Voice common stock, in exchange for a $6.5 million line of credit to Active Voice. The share price chosen represented a 40% premium over the share price on the date of the original letter of intent, February 19, 1999. Active Voice's recent return to profitability and the sale of its MyAgent technology negated the need to use the full credit facility. NEC has chosen to exercise the warrant for 307,692 shares, which represents the $4 million Active Voice drew from the line of credit. NEC preserves the option to exercise the remaining shares at a future date.
"We are pleased to have our largest customer own approximately 6% of Active Voice stock," stated Frank J. Costa, Active Voice's president and chief executive officer. "NEC and Active Voice have enjoyed a very close relationship over the years, and this stock purchase further reinforces the future working relationship."
Let's see 40% premium over Feb99 price. $9 x 1.40 = $12.60.
I guess I would exercise that warrant too.
Jack |
