maintained that it has a "strong liquidity position" with enough cash and cash equivalents to support its ongoing operations and investment requirements for about two years.
CMGI, which invests in and operates Internet companies, said its consolidated cash position at July 31 was $654.2 million, supported by available-for-sale securities of $1.6 billion, and also reiterated that it has no plans to sell its stock in operating units
Shares of CMGI were recently trading at $22.19, rebounding sharply from Friday's low of $18.31, as volume approached 11.9 million shares. CMGI closed Thursday at $21.50.
The company expects its operating cash burn rate, or the amount of cash spent to support continuing operations of units that are funded by CMGI, to total about $63 million a month through November. CMGI added that it expects the operating cash burn rate to decline significantly over the next six months. For the foreseeable future, CMGI expects to spend about $10 million a month on strategic investment activities through its affiliated venture capital arm, CMGI @Ventures.