Press releases do not say TSQD will exercise option:
They say:
"Tech Squared Inc. (OTC Bulletin Board: TSQD - news) controls 19 percent of Digital River's common stock. "
If you read the prospectus, which is what troubled me in the first place, it says that Ronning has agreed to vote 3,200,000 of his DRIV shares the way the MacUSA Board of Directors asks him to. That, IMHO, is the extent of TSQD's "control" of the DRIV shares. TSQD does not own these shares. In order for them to own the shares, they must agree to buy them for $1 (before the option expires Dec. 31, 2000), and TSQD has agreed to cover all of Ronning's tax liability for giving the shares to TSQD.
Again, my whole concern here is that TSQD has never issued any statement saying they will exercise the option (or how they will do this), and the DRIV prospectus says TSQD has voting control of the shares only. I just want somebody somewhere to offer an assurance other than "we've always assumed it would happen", to explain the language in the agreement.
I would like to assume the best, but given past performance, I am merely offering my observation the TSQD/DRIV relationship. TSQD share holders have little reason to trust that the stock will ever fully realize the assumptions on this board. PLEASE prove me wrong. Based on TSQD's performance today, I may be the only one questioning this issue. I hope TSQD's price has been down because of market conditions, and DRIV uncertainty - I think DRIV can do just fine. |
