Linked by Thom Holwerda on Thu 14th Feb 2008 21:06 UTC
SCO, Caldera, Unixware Having almost disappeared completely late last year, SCO says it has been resuscitated by a new financing plan. Under the terms of the deal, Stephen Norris Capital Partners and "its partners from the Middle East" will supply up to $100 million, enabling SCO to reorganize and launch a new series of products. SNCP will gain a controlling interest in the company, and take it private, allowing it to slip out of Chapter 11 bankruptcy protection. Update: As part of the reorganisation, Darl McBride will be let go. Buried in the proposed MOU (Memorandum of Understanding) between Unix vendor and Linux litigator SCO and SNCP is the note that "upon the effective date of the Proposed Plan of Reorganization, the existing CEO of the Company, Darl McBride, will resign immediately."
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Bobthearch
Member since:
2006-01-27

Just to clarify, if a company is being dissolved, it ceases to exist. Finished forever. The assets are sold off and the proceeds go to creditors. Common shareholders get nothing, unless there is a surplus remaining after all creditor claims are settled (very unlikely).

But SCO isn't being dissolved, it's merely in bancrupcy. So what will happen with the SCO stock? I think it'll probably be cancelled and a new stock will be issued when the company emerges from bancrupcy.

Reply Parent Score: 1

sbergman27 Member since:
2005-07-24

But SCO isn't being dissolved, it's merely in bancrupcy. So what will happen with the SCO stock? I think it'll probably be cancelled and a new stock will be issued when the company emerges from bancrupcy.


It's in chapter 11 and trying to avoid chapter 7. I thought that "private" meant no publically traded stock?

But then, SCO Group has always been privately owned, for most practical purposes. The investors have traditionally been a small, close knit group. Any resemblance that SCO's maneuvering might bear to 1980's TV series like Dallas, Falcon Crest, and Dynasty are purely *not* conincidental.

In this season's cliff hanger, J.R.^WDarl has gotten the boot. Miss Elly is still tied up in a basement somewhere. Angela just got the winery back, after living at the Del Oro spa for most of a season. Southfork is on fire. And we are all praying that this is really just Pam's dream.

Reply Parent Score: 2

Bobthearch Member since:
2006-01-27

SCO is a publicly-traded company; it was originally listed on NASDAQ but now trades on the Pink Sheets, the stock market's ward for the terminally ill. Most of the stock may have been held by the company insiders in the past, but today they hold only 33% combined. Insiders probably got out during any of the many stock-pumping lawsuit schemes.

Today's price, 10.5 cents per share:
http://finance.yahoo.com/q?s=SCOXQ.PK

Reply Parent Score: 1

Bobthearch Member since:
2006-01-27

SCO is a publicly traded company. The stock was listed as NASDAQ but is now traded on the Pink Sheets, the stock market's ward for the terminally ill. Today's price, 10.5c per share:

http://finance.yahoo.com/q?s=SCOXQ.PK

Perhaps in the past the company execs and insiders did own a majority of the company's stock, but it seems that none of the stock is currently owned by company executives; the execs probably sold their shares during one of the many stock-pumping lawsuits.

Current 'insider' shareholders are listed here:
http://finance.yahoo.com/q/ir?s=SCOXQ.PK
Note that the two company executives hold 0 shares, and McBride is not even listed.

Reply Parent Score: 1

Bobthearch Member since:
2006-01-27

SCO is a publicly traded company. The stock was listed as NASDAQ but is now traded on the Pink Sheets, the stock market's ward for the terminally ill. Today's price, 10.5c per share:

http://finance.yahoo.com/q?s=SCOXQ.PK

Perhaps in the past the company execs and insiders did own a majority of the company's stock, but it seems that none of the stock is currently owned by company executives; the execs probably sold their shares during one of the many stock-pumping lawsuits.


Current 'insider' shareholders are listed here:
http://finance.yahoo.com/q/ir?s=SCOXQ.PK
Note that the two company executives hold 0 shares, and McBride is not even listed.

Reply Parent Score: 1