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Strategies & Market Trends : Floorless Preferred Stock/Debenture -- Ignore unavailable to you. Want to Upgrade?

To: Zeev Hed who wrote (526)	6/27/1999 11:37:00 AM
From: Greg Hull	Read Replies (1) \| Respond to of 1438

Zeev, <<They have a little cash nest of about $7 to $8 MM.>> ANCR expects the need for more cash later this year, but this round of financing will be performed much differently from the last three rounds of recent years. The contract with SUNW announced earlier this month and the elimination of further dilution from past convertible preferred offerings has given them many more options. They now have the option of a secondary offering of common stock given the current stock price and the success of their competitor's IPO. I don't know what other options Ancor had to raise cash in 1997 and 1998. They chose floorless convertible preferred stock and lived to tell about it. They may be one of the few success stories for this form of financing. Greg