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Technology Stocks : America On-Line: will it survive ...?

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To: Alec Epting who wrote (5912)11/13/1997 2:40:00 PM
From: J.S.  Read Replies (1) of 13594
 
Alec,

Reg S applies to all types of off-shore equity related offerings.
Just because it is typical for desperate companies to use this to
issue sweetheart deals to select "investors" who bring can then
decimate the stock price (sometimes to near 0 if there is no floor
on the conversions) does not mean that all Reg S deals are so.
Since AOL is an international company, it makes sense that some of
their debt be off-shore. The deal in question had a domestic and
off-shore component. The amount of REG S (off - shore) may have been
proportionately small.

Joe
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