Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : p-com (pcms) -- Ignore unavailable to you. Want to Upgrade?

To: Apakhabar who wrote (1094)	5/21/1999 8:28:00 PM
From: Bernard Levy	Read Replies (1) \| Respond to of 1461

Apakhabar: The legal documents PCMS signed when it issued the floorless convertibles engage the company to move to an exchange which does not have the 20% limit in case the shareholders refuse to approve a waiver of the Nasdaq rule. This is all clearly explained in the S3. Note that I do not wish to portray myself as a floorless expert. The only thing I can say is that in all cases I am aware of, which are: Geotek (GOTK, now defunct), Cityscape Financial (CTYS, also defunct), Osicom (FIBR), Gatefield (GATE), and CVUS (now SPDE), the issuance of floorless convertibles led to a huge price decline followed by either a price recovery (FIBR, GATE) after the floorless converted, or by Chapter 11 when the company was in excessively bad shape. I will be glad to hear about other issuances of floorless convertibles which did not lead to an outcome of the type I described above. The point that analysts and financial institutions have read the S3 is valid. Did anyone on this thread see a recent research report? If yes, what does it say about the floorless converts? Best regards, Bernard Levy