Feeds

Small bird wants SGI to fly in private

Henpecks board over low share value

Secure remote control for conventional and virtual desktops

A major investor in SGI wants to move the infamously fallen server vendor to the relative safety of the private sector.

According to a regulatory filing yesterday, Whippoorwill Associates will begin discussions with the company's board of directors and leading stockholders about "unlocking the company's true value," including a possible going-private gesture.

Whippoorwill disclosed to the US Securities and Exchange Commission that it owns 1,129,582 shares of common stock — or about 9.8 per cent of the company. It said it purchased the stake for about $20m.

In a 13D filing, the investment management firm contends that as few of seven SGI shareholders own 77 per cent of company stock. This concentration of ownership "has resulted in a stock price which does not fully reflect the Company's intrinsic value or the substantial operating progress achieved over the past year."

Once a dominant fixture in Silicon Valley, SGI has battled to resurrect itself after emerging from bankruptcy in 2006. Since then, the firm has concentrated on selling Xeon-based servers to a broader market rather than a niche focus on the visualization and Itanium space.

Its "progress," it would seem, has not been reflected in its stock value. Over the past year, SGI shares have lost about 70 per cent of their value. In March 2007, SGI's stock price hovered around $30. This March, shares dipped as low as $9.34. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
Ellison: Sparc M7 is Oracle's most important silicon EVER
'Acceleration engines' key to performance, security, Larry says
Linux? Bah! Red Hat has its eye on the CLOUD – and it wants to own it
CEO says it will be 'undisputed leader' in enterprise cloud tech
Oracle SHELLSHOCKER - data titan lists unpatchables
Database kingpin lists 32 products that can't be patched (yet) as GNU fixes second vuln
Ello? ello? ello?: Facebook challenger in DDoS KNOCKOUT
Gets back up again after half an hour though
Hey, what's a STORAGE company doing working on Internet-of-Cars?
Boo - it's not a terabyte car, it's just predictive maintenance and that
prev story

Whitepapers

A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.