Why are these people having such a hard time spitting it out? It's pretty obvious the financing deal is coming out of the pockets of current investors. "Mr. Stewart said there may be investors who see the deal as diluting Corel's shares...", GEE YA THINK?! Maybe that's because it not only dilutes the stock now but there is no end to it. This is one of those "toxic" deals that keeps on diluting as the stock moves lower. Then he claims that "others may be shorting the stock", WONDER WHO THAT MIGHT BE?! Like maybe the same guys who gave them the cash in the first place in exchange for a potentially unlimited number of unregistered shares?!
Thank God Inprise escaped with their $240,000,000 intact. What a disaster that would have been. So now Corel goes begging for a minuscule $10 million, can't get it, so they unload an unlimited number of new shares (potentially) in some whack, toxic financing deal. The stock did not fall despite the deal, the deal was the SELL confirmation the diehard Corel investors were looking for. Hell, sales may be falling 30% annually but look, we can rake in millions by selling your equity!!! What a deal!!!
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