Quantum’s stock price is doing something today we suspect it’s never done before: doubling in value. Granted, when you are talking about movement off a 40-cent-per-share stock price, you need to keep such percentage gains in perspective. And as stock watchers well know, it’s not where you start, it’s where you finish on any given trading day.
The news that is spurring the stock’s rise? The San Jose maker of data storage is offering to refinance some of the debt weighing it down, which was part of the reason the company was placed on a list by Moody’s, the credit-rating agency, of company’s in danger of defaulting on their debt. Our colleague Steve Johnson wrote last Sunday about its fate, along with that of other Silicon Valley companies on the list: chip-maker AMD and smart-phone developer Palm.
But as good as the news was about its renegotiating its debt was the reason it could: an infusion of $100 million from network-storage giant EMC. That’s a vote of confidence that arguably matters as much for Quantum as taming the debt monkey on its back.