SyQuest Technology Inc, Fremont, California small form factor exchangeable disk cartridge pioneer, has won a little further relief from its financial woes from Fletcher International Ltd, which has injected another $5m investment on top of the $8.5m it pumped in last November. Fletcher gets 50,000 shares of SyQuest’s 5% cumulative convertible preferred stock, Series 3, at $100 per share. The shares are convertible into SyQuest common stock at a price equal to the five-day average NASDAQ closing price prior to the conversion, subject to a designated cap and floor price. SyQuest also issued Fletcher a seven-year warrant to buy further SyQuest common shares at a price computed using a formula similar to the formula used in converting the convertible preferred stock into common stock.
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