Comments on: Palm Stock Offering Generates $360M

Palm Inc. has announced the results of its common stock offering. In addition to generating a nice $313 mil from its offering of 20,000,000 shares at $16.25 each, the company announced that the underwriters were able to sell an additional 3 million shares. The exercise of the over-allotment option brings the expected total net proceeds of the public offering to $359.9 million. In a statement, Palm said it expects to use the proceeds for working capital and general corporate purposes.

Palm also reaffirmed its fiscal year 2010 outlook and its planned product and carrier launches in the second half of Palm's fiscal year ending in May 2010. This rather bold move indicates to some that a future Verizon release may not be written off after all.

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Interest focus change

SeldomVisitor @ 9/25/2009 4:55:30 AM #

== "...Palm also reaffirmed its fiscal year
== 2010 outlook and its planned product
== and carrier launches in the second half
== of Palm's fiscal year ending in May 2010.
== This rather bold move indicates to some
== that a future Verizon release may not be
== written off after all."

Or that Palm now actually cares about stock price and is trying to support it.

RE: Interest focus change

rmhurdman @ 9/25/2009 7:34:19 AM #

There's a difference between "support" and "manipulate". If they really cared about the share price, they wouldn't dilute the current stockholders by issuing new shares.

This looks like desperation. If they weren't short of cash, they wouldn't have raised equity; that's obvious. But if they were optimistic about their future profitability, they would have issued debt, not shares. Debt would currently carry a reasonable interest rate and Palm could pay it back with future earnings. But purchasers of debt can probably see the gaping hole in that plan: "What future earnings?"

Did anyone here buy these shares at $16.25? Taking into account the $9.00 dividend, the only time PALM shares were higher was July 2001 (tech bust). What would possess an "investor" to buy PALM shares at an all-time high?

RE: Interest focus change

SeldomVisitor @ 9/25/2009 8:14:42 AM #

They can't issue debt - they're already $400 million in debt and that debt has restrictions on further debt.

The cheap shares (at the time at least...) were available only to The Big Guys, not retail "investors".

Pre drops to $79.99 at Walmart

Gekko @ 9/26/2009 12:33:51 PM #

http://www.engadget.com/2009/09/26/pre-drops-to-79-99-at-walmart/

RE: Pre drops to $79.99 at Walmart

SeldomVisitor @ 9/26/2009 1:06:55 PM #

Free by no later than end of year - maybe MUCH sooner.

RE: Pre drops to $79.99 at Walmart

Tim Carroll @ 9/26/2009 3:10:29 PM #

(Reads article. Looks at slowly-growing savings fund for unlocked GSM Pre, likely going to be around $700 USD.

Cries.)

RE: Pre drops to $79.99 at Walmart

jca666us @ 9/26/2009 4:47:43 PM #

$79.00 - the price gets any lower, they'll be paying people to take the Pre.

RE: Pre drops to $79.99 at Walmart

Gekko @ 9/26/2009 4:58:24 PM #

freakout - when it comes out, if you really want one, call palm and tell them who you are and ask for a discount. it never hurts to ask. if they're smart (questionable) they'll give you a nice discount.

RE: Pre drops to $79.99 at Walmart

Tim Carroll @ 9/26/2009 5:24:37 PM #

heh. Palm know who I am, I harrass them for official comment on many stories here every week (very rarely get anything worth printing). but i doubt I could get a discount, heck even developers don't get one so far as I know.

Palm AU used to be really good about review units - they'd courier them out to me and pay for pickup too. But they've been gutted now with all the cutbacks (which doesn't bode well for an AU Pre anytime soon, either.)

My main worry really isn't the price so much as the fear the bloody thing will wind up being faulty. International warranty exchanges are very hard, as I learned with my 680.

RE: Pre drops to $79.99 at Walmart

Gekko @ 9/26/2009 5:41:20 PM #

everything in life is negotiable, grasshopper.

RE: Pre drops to $79.99 at Walmart

SeldomVisitor @ 9/27/2009 3:50:41 AM #

The Pre is available in Canada for $50 (presumably Canadian dollars)

http://www.engadget.com/2009/09/26/pre-drops-to-79-99-at-walmart/comments/21915032/

RE: Pre drops to $79.99 at Walmart

e_tellurian @ 9/28/2009 3:27:39 PM #

Palm the PDA is not dead. Interaction requires a minimum of two. We-com virtual wallet is hardware and will need to interact with PDA and Smartphone's. Perhaps PDAs with removable hard drives. Removable hard drives will allow the PDA to be up-graded, changed or serviced without any issue to the customer. If the PDA is dropped and God forbid break the customer can just remove the hard drive and exchange via courier a new one. The customer just puts the hard drive back into the new PDA and away they go. No down time or data loss issues.

Sorry i'm late.

Peace,

E-T
e-tellurian

Completing the e-com circle with a people driven we-com solution
WiFi & BT? No strings attached
we_tellurian@canada.com

RE: Pre drops to $79.99 at Walmart

Gekko @ 9/28/2009 5:30:01 PM #

E-T - nice to hear from you - i hope all is well. no removable hard drives are needed since all of your data is now on the cloud. if you lose or break your device, you just get a new one. and you can still access your data from any other connected device - ie PC, smartphone etc. and since your data isn't on the actual device, it's very secure if you lose it - you simply change your cloud password. and a credit card number is all you need to make transactions.