WorldSpace: the penny drops

chris

Would-be satellite radio operator, not for the first time, suffered a bashing on the Nasdaq March 27.

WorldSpace stock fell 17% on Thursday (from $1.31 to $1.11) in massive selling (300,000 shares changed hands by midday, when a normal day’s trading is about 180,000 sales). At one stage during the day WorldSpace’s market capitalisation for the business dropped to just $46.8m.

WorldSpace is due to release its full year’s report and accounts in the next day or so, and it is already known that they will be “qualified” by auditors Grant Thornton and “expressing doubt about the Company’s ability to continue as a going concern based on its current financial resources”.

This is not the first time that WorldSpace has traded down at these low levels. In February it dropped below $1 at 88 cents for a brief period, and again touched sub-$1 levels earlier in March.


source: Rapid TV News

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