Shut Down E-Stamp
from the pressure-from-the-press dept
A letter to the Chairman of the Board of E-Stamp from a columnist in the SJ Merc advising him to shut the company down. The company is currently valued at less than the cash they have on hand. The columnist’s argument is that the company is going nowhere, and all they’re going to do is spend all that cash and end up dead. If there were to shut down now, and give out the money, they would not totally screw over their investors. Of course, this is wishful thinking. However, if there is real evidence that the company doesn’t have very good prospects, it is actually their responsibility to give their shareholders the best possible return – and that might be by shutting the company down. Update: Red Herring has a column looking at a few other companies with higher cash on hand than market value.
