Greenlight Company Presentation

Tech Management Conventional Wisdom: We Need Cash "Strategic Options" War Chest Greenlight Capital, Inc. "Rainy Day" Fund There are several common themes that explain the tech industry's cash hoarding. Part of it is that companies view their self-importance by the size of their bank accounts. They like to know that they can make small, medium and large acquisitions. But it is also widely understood that when tech companies get into trouble, Wall Street won't be there with fresh capital. Many companies that held industry-leading positions at one point over the last few decades ultimately lost their market position, ran out of money, and went bankrupt. In tech, where product innovation happens at light speed, and consumer desires shift just as quickly, profits can turn to losses faster than you might think. Much of Silicon Valley has learned the lesson: If Wall Street can't be counted on, the key to survival is a rainy day fund that will get you through tough times. LO 5

View entire presentation