According to Barron’s, by way of SeekingAlpha, PlanetOut is running out of cash and the stock is down more than 31% in the last two days of trading.
With the ongoing slide in the stock – on Monday, PlanetOut shares fell 17 cents to 98 cents – the company’s market cap is down to a paltry $17.3 million. (CFO Dan) Miller notes that the company’s Gay.com URL is “incredibly valuable.â€? That may be true; what’s not clear is whether the company can raise enough cash to avoid having the site and the rest of PlanetOut’s assets sold off in a Chapter 11 fire sale.
The company has hired Allen & Co. to consider strategic alternatives.
