Ginni Rometty, Softbank, Bloomberg discussed on BTV Simulcast

Automatic TRANSCRIPT

Own that's leased for a longer period of time that presumably have better unit economics and again this is a company with on certain financial model and it's on the hook for fifty billion dollars in lease payments so you know the mismatch between the question marks around its ability to profit ever and the money that it lose the whole call cold hard cash than it does in coming years you know that's certainly a red flag for me. Ellen I think we were a little bit surprised that we work plan to go through the IPO go through with the road show giving the soft things hesitancy or perhaps pressure maybe not to any idea at this week during the brochure one we start to see kick off how that relationship between we work in softbank may change I think it's it's still to be determined you know part of the interest in following this story has been trying to track this disagreement internally I'm sure within softbank within we work between the two companies with some of the things about how best to proceed and you know part of why we work is so interested in continuing for with the IPO for this we have to manage and continue for with the idea despite reservations and and hesitation from other parties is because they really need this cash and it's not just the three billion or so that they're hoping to raising the IPO but it's the contingent six billion of additional you know credit facility that they get access to only if they have a successful IPO that raises at least three billion dollars this is something you can read about in the S. one and so there's a lot at stake for we work to try to make something work right to try to see if they can move forward with the plan as had originally been discuss I think changes are still a possibility but that certainly I have to imagine not what they would hope would happen well we know the bondholder certainly have been the gauge right on on how well they think that the IPO because is doing that was Bloomberg opinions here of the day and Bloomberg technologies and when he wakes thank you for joining me. and coming up our exclusive interview with IBM CEO Ginni Rometty as he discusses red hat and the future of the company this is one. first keep their import tools close by which may.

Coming up next