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Technology Stocks : SYQUEST -- Ignore unavailable to you. Want to Upgrade?

To: Ping Ho who wrote (5760)	3/2/1998 12:49:00 PM
From: Dale Stempson	Respond to of 7685

Simply not true Ping: You stated in your post: >>>People who are worried about the stock keep mentioning warrant overhang, but do the same people know that most of these warrants are struck at levels above 3.00. In order for these investors to convert, they must have an economic reason to trade in the time value of the warrants (7 year expiration). Therefore, much of the worry is moot unless the stock rises to levels that more shares would come onto the market.<<< Now here's the truth: "As of February 20, 1998, the Company had outstanding options and warrants to purchase approximately 68.6 million shares of Common Stock, at a weighted average exercise price of approximately $2.80 per share." (the above taken directly from Syquest's most recent SEC filing) Not only that, but Syquest management has stated that they might have to offer additional incentives (discounts or more free options) in order to prompt conversion in an effort to obtain more critical cash. Regards - Dale