Quote:
Originally posted by AndrewKanuck
They sold 48% of non-voting stock from General Media - the publisher of Penthouse. Pet Capital then owns holdings in General Media, and the debt is being swapped out for new common stock once emerged from Chapter 11.
This stock will not perform. They will just run thru the money they are receiving and continue to drop.
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I totally disagree with you. Pet Capital was in a great position and they chose to play ball with Penthouse, not put them out of business and screw the current shareholders. They very easily could have done that. if they thought that was the better deal for them they would have started from scratch and got rid of everyone including the current stock holders.
Time will tell who is correct.