Eager to Unwind That AremisSoft Position? Don't Hold Your Breath

Unloading your AremisSoft (AREM Quote) stock is sort of like doing synchronized diving off the Golden Gate Bridge.

Fleeing AremisSoft

In the Clear? Don't Exhale Yet -- Your Funds May Own AremisSoft

In theory, anyone can do it. The trick is finding a willing partner.

That's the quandary facing shareholders in the bullish-on-Bulgaria software company for which the Nasdaq issued a trading halt on July 30. Legally, it appears that shareholders who want to sell their stock (or speculators who want to buy it) are able to effect a transaction with a willing third party. The problem is that regulatory and practical considerations make it hard for common shareholders to find someone with whom to do the deal. And there's no way of knowing when the trading halt will be lifted, or where the stock might trade when it does resume. (Note: You can exercise options in AremisSoft without finding a counterparty -- that's the beauty of the options world.)

AremisSoft, which last changed hands at $11.19 late last month, announced July 31 that its chief executive and chief financial officer had resigned, and admitted that the Securities and Exchange Commission was investigating, among other things, a Bulgarian software contract on its books. The company has denied there is anything untoward about the software contract. It has also sued TheStreet.com and other parties, alleging a conspiracy to drive down its stock price. The defendants have denied the allegations. ...