MandrakeSoft SA is back. The company has exited bankruptcy.
The Paris-based publisher of Mandrake Linux, which sells its products in more than 120 countries all over the world through dedicated channels, nonetheless chose the French equivalent of Chapter 11 -- a status known as "redressement judiciaire" -- back in January 2003.
Now, in contrast, shares of MandrakeSoft are again being traded on the Euronext Marche Libre exchange and on the U.S. OTC market, and the company is fully back to normal activities.
"Born on the Internet" in late 1998, MandrakeSoft has offices in the United States as well as France. Now that the 14-month "observation period" is officially at an end, the company has 9 years to pay its creditors without any kind of compulsory recapitalization. In an official news release, MandrakeSoft's Gael Duval states:
The turnaround was largely made possible by improvements in the company's financial results -- MandrakeSoft recently recorded its first profitable quarter since 1999.
During the observation period, Duval explains, the company "normalized its activities by refocusing its core business on Linux, dramatically reducing costs, optimizing business activities, and by developing high margin revenue lines." As a result of restructuring, MandrakeSoft recorded it first quarterly profit since 1999 of Euro 270,000 (US$328,806) on Euro 1.42 million of revenue during the period between October 2003 and December 2003.
Most important of all, for Mandrake Linux users: MandrakeSoft will release its new operating system "Mandrake Linux 10.0 Official" in May 2004, and plans to announce in upcoming months several new products for the corporate and individual markets.
The company has also recently closed on several deals with government and corporate clients, according to Duval.