Palm Gets $100M Investment Amid CES Rumors
Palm, the down-on-its-luck Treo maker, announced Monday $100 million in new funding amid talk it will unveil new products at the January CES trade show.
In addition to the $100 million lifeline, the deal allows Palm to sell shares worth $49 million — or a 31 percent premium before April 1.
The much-needed funding comes as Palm reportedly has just two years before cash is depleted and the company is set to unveil a new handset and a smartphone operating system.
For Palm, the new money provides it “enhanced stability” during the economic downturn.
Elevation Partners, which in 2007 invested $325 million for a 25-percent stake in Palm voiced upbeat reasoning for the additional funding.
DON'T MISS
Report: Palm To Introduce New OS At CES 2009?
“Palm is in a position to transform the cell phone industry,” Roger McNamee, a partner in the private equity firm, said in a statement.
![Read "Why You’ll Probably Never Own A Mac With An ARM Processor [Feature]"](http://cultofmac.cultofmaccom.netdna-cdn.com/wp-content/uploads/2012/02/macbookairarm-300x250.jpg "Read \"Why You’ll Probably Never Own A Mac With An ARM Processor [Feature]\"")
![Read "Is This USB Vibrator The New iPod? [Interview]"](http://cultofmac.cultofmaccom.netdna-cdn.com/wp-content/uploads/2012/01/crave1-300x250.jpg "Read \"Is This USB Vibrator The New iPod? [Interview]\"")
