If memory serves me correct the merger/acquisition back in '07 was structured such that PC Power & Cooling became a wholly owned subsidiary of the OCZ Technology Group. If that is true, then the future of PC Power & Cooling will depend on whether or not any of their independent assets were used as collateral or other contractual obligations as party to OCZ's loan agreement with Hercules. Regardless, it's highly unlikely that PC will emerge from this unscathed.
During any merger or acquisition one company often downsizes or completely eliminates certain functional areas within their organization that are deemed duplicate functional areas. Examples of this might be finance teams, human resource teams, sourcing / purchasing teams, sales teams etc. There is no need for these functions to exist in both organizations because one of the drivers of mergers and acquisitions is streamlining the support functions - thereby resulting in (hopefully) better bottom line results. My guess is that even if PC could escape the legal quagmire, it's likely that they no longer have critical support resources integrated into their business.
This whole mess is really a shame. I remember when I first got interested in performance computing, OCZ was a name synonymous with high performance quality memory, followed later by their power supplies. Who can forget the legendary OCZ Powerstream 520W power supply from back in mid 2000? SLi certified, adjustable pots, stable power, amazing build quality etc. etc. etc.
However there's no question that the leadership over at OCZ has made fatal mistakes. Exiting the performance memory market, putting all of their "eggs" in the SSD basket, the purchase and complete destruction of PC Power & Cooling power supply business and 32M they spent buying Indilinx. Engineering and design became a joke and whats worse is that manufacturing quality tanked across the board on every product category.
I doubt this news surprises industry watchers or insiders, but a sad day none the less. Last year an internal audit team questioned the company's aggressive rebate schemes, and OCZ has had a tough time securing flash memory due to their credit problems.
OCZ shares were trading at $0.13 cents earlier on Edited by wevsspot - 11/27/13 at 12:37pm