By Sonya Rabbitte, 12 October 2001 13:15
NEWS USi, once hailed as the world's highest earning ASP, has emerged from a cash crisis to secure a new $100m investment deal. The company has negotiated a letter of intent with venture capital firm Bain Partners, which will see them invest $75m in the ailing ASP. An additional $25m funding is available if the company meets specified milestones. However, the funding is dependent on the company restructuring and is unlikely to be finalised until next year, according to USi CEO Andrew Stern. USi verged on bankruptcy earlier this year after a group of private investors, including Microsoft and General Electric, failed to deliver on a $320m cash promise following the market slowdown over the summer. The company received $150m from that deal, but was forced to axe 25 per cent of its work force in April - just as IDC ranked it the world's highest ASP earner - in an effort to save $35m.
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