From Tradelite on Rande's thread:
________________
Corel says it may run out of cash if Inprise merger falls through
By Brian Sullivan, Computerworld
IN ITS LATEST filing with the U.S. Securities and Exchange Commission, Ottawa-based Corel announced it could run out of cash in 90 days if its merger with
Scotts Valley, Calif.-based Inprise/Borland does not go through and current financial troubles continue.
Corel recently posted a first-quarter loss of $12.4 million, and in its 10-Q quarterly financial filing of April 19, the company said it expected to post more losses
over the next six months.
"If the proposed merger with Inprise does not occur, other sources of financing are not secured and/or Corel's operating results do not improve, a cash
deficiency may occur within the next three months," the company's 10-Q statement read.
A former director of the company has filed lawsuit trying to block the merger, calling it "unfair." On April 10, the two companies announced that the merger
waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 had expired.
Corel was closed Friday in observance of Good Friday. Its stock closed Thursday at $7.94 per share. It had reached a 52-week high of $44.50 in mid-December.
Corel has been touting the merger with Inprise, saying that the new company, to be called Corel, would be "a Linux powerhouse," offering a single source for a
range of productivity applications, development tools, and professional services.
For more enterprise computing news. go to www.computerworld.com . Copyright (c) 2000 Computerworld, Inc. All rights reserved. |
