Violin Memory files Chp. 11

On December 14th after months of searching for a buyer Violin Memory filed for chp 11 in the District of Delaware.  The case will be handled by the Honorable Laurie Selber Silverstein and the docket is here: https://cases.primeclerk.com/VMEM/Home-DocketInfo

VMEM is rapidly burning cash and is looking to sell all of its assets in Chp 11 to maximize what value is left for its note holders.  In the first day declaration management provided the weekly cash projections and the timetable for the bidding process:




VMEM had a $162m IPO in September of 2013 and since then has struggled to meet its revenue expectations, never turning a profit. In October of this year the equity was delisted from the NYSE and now trades OTC (equity is essentially worthless).

In September of 2014, VMEM issued $120 Convertible Senior Notes that are unsecured and accrue interest at a rate of 4.25% per annum, payable semi-annually.  Currently these trade at .20 on the dollar.

Below is a list of 98% of the holders of the Notes:

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