Palm Remarkets Elevation Shares Ahead of Palm Pre Launch

Palm today announced they would be remarketing more 18.5 million common shares to improve the companies capital in advance of the launch of the Palm Pre. The capital will be used to help with further development of the Pre and finance the launch expected in the coming monhts.

Elevation Partners will recoup $49 million for initial costs and those funds are expected to be put back into the purchase of Palm’s common stock. 

Palm is banking on the success of it’s newest smartphone, the Palm Pre. Questions regarding Palm’s cash flow were raised by analysts previous to the move to remarket the Elevation shares.

via Business Week

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