Penthouse to Offer $250m IPO

[RawAlex]

Considering that Penthouse (previous company) went tits up in a pretty serious way, and that most print magazine and news companies are suffering greatly due to loss of advertising revenue... I think this one is all wish and very little reality.

I will say this: if they have 250 million of debt on their books against less than 400 million gross revenue, they are probably having a tough time moving ahead, and certainly getting that debt off the books would be a move to make the company financially much more sound.

I think that taking the company public again is part of the deal with Andrew on all of this: Pay us $X now, and give us X millions of shares in the new public offering of penthouse at a significantly lower price than the intial offering. Let us make out money by slowly but surely selling off our interests.

Andrew always wanted to take AFF public, but knew that a pure internet porn play wasn't going to float. Putting under the Penthouse name makes it also palatable to a larger group of investors, the same ones that would buy Playboy stock.