How did we miss this? As DWR continues forward on the road to reinvention amidst the toughest retail environment in its history, big changes have been afoot. First, they quietly delisted their common stock from NASDAQ last month after they failed to maintain a $1 minimum for their stock price and sought to cut costs. Then, this Monday, they completed a deal to raise $15m for a 91.33% ownership stake in the company. Here's the scoop...
• Ray Brunner, DWR CEO: "As we continue to look for savings that do not impact our people (staff reductions) or our clients (quality compromises) we are leaving no stone unturned. So, when we looked under the NASDAQ stone we saw expense with no real value to us." more at DWR Blog
• The Street Insider: "The decision to delist has been reached as part of the Company's overall strategy to conserve resources and improve cost-effectiveness as the benefits of maintaining a NASDAQ listing have declined." More at The Street Insider
• Businessweek: "Glenhill Special Opportunities Master Fund LLC, an affiliate of Glenhill Capital Management, LLC, subject to customary closing conditions, will invest $15 million of additional capital into the company in exchange for a 91.33% ownership stake." more at BusinessWeek