Sun Will Not Go Private
Scott McNealy denies reports that the technology company plans to buyback its stock and bid adieu to Sarbanes-Oxley.
Contrary to a Business Week report, Sun Microsystems will not undergo a leveraged buyout and go private.
Sun’s president Jonathan Schwartz said of the story: “It’s a complete joke.”
Investors on Wall Street seemed to think differently, as enthusiastic trading sent the share price to $4 on Friday before it fell at market’s closing.
Sun’s problems with getting back to pre dot-com profitability, plus the continued expense of conforming to federal accounting standards, appear to have laid the groundwork for the rumor.
David Utter is a staff writer for WebProNews covering technology and business. Email him here.