Feeds

Overland gets $15m tide-us-over cash

Is this the last fundraising exercise?

Choosing a cloud hosting partner with confidence

Overland Storage is raising $15.4m to tide it over before new product sales lift revenues.

That's our take on the struggling data protection and storage appliance vendor's private placement of 8,722, 904 common stock shares plus warrants to buy up to 3,838,069 more. These warrants have an exercise price of $1.71 per share and expire on 21 March, 2016. This gives Overland five years in which its executives hope that revenues will greatly increase and share values follow suit. The shares are currently trading at $1.96, but don't get excited: we bought our 300 at $2.19 last year.

Overland's statement said it will use the cash for "general corporate purposes and working capital, including the funding of product development and sales and marketing expansion, as well as the repayment of certain indebtedness". The sales and marketing expansion probably refers to channel expansion, bodies on the street, and marketing programmes.

Product development funding is self-explanatory but indicates that the expense of that is substantial.

The Clinton Group is leading this placement of shares and a portfolio manager there, Joe De Perio, has joined Overland's board.

This might be Overland's last fundraising exercise before new products arrive and, hopefully, lift sales.

Once again Overland has been able to demonstrate to investors that it does have a great future story to tell. That story will probably start to come out publicly later this year with product announcements, possibly including tape products, an area lacking innovation according to VP engineering and chief technology officer Geoff Barrall. His blog doesn't give anything away but may make interesting reading.

If I were working for Quantum, HP, IBM, SpectraLogic and Tandberg Data in the tape automation area I'd be wondering just what the fertile Mr Barrall is developing. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
Azure TITSUP caused by INFINITE LOOP
Fat fingered geo-block kept Aussies in the dark
NASA launches new climate model at SC14
75 days of supercomputing later ...
Yahoo! blames! MONSTER! email! OUTAGE! on! CUT! CABLE! bungle!
Weekend woe for BT as telco struggles to restore service
Cloud unicorns are extinct so DiData cloud mess was YOUR fault
Applications need to be built to handle TITSUP incidents
NSA SOURCE CODE LEAK: Information slurp tools to appear online
Now you can run your own intelligence agency
BOFH: WHERE did this 'fax-enabled' printer UPGRADE come from?
Don't worry about that cable, it's part of the config
Stop the IoT revolution! We need to figure out packet sizes first
Researchers test 802.15.4 and find we know nuh-think! about large scale sensor network ops
DEATH by COMMENTS: WordPress XSS vuln is BIGGEST for YEARS
Trio of XSS turns attackers into admins
SanDisk vows: We'll have a 16TB SSD WHOPPER by 2016
Flash WORM has a serious use for archived photos and videos
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Designing and building an open ITOA architecture
Learn about a new IT data taxonomy defined by the four data sources of IT visibility: wire, machine, agent, and synthetic data sets.
How to determine if cloud backup is right for your servers
Two key factors, technical feasibility and TCO economics, that backup and IT operations managers should consider when assessing cloud backup.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.