Cannon said its stock deal is for cash.

Clarifying an earlier news release, a spokesman for Cannon Group said its $11.6-million conditional sale of unissued stock to Intercorporation S.A. is separate from a previous deal in which Intercorporation lent $13.5 million to the Los Angeles film company. As reported, there was speculation in the financial community that the stock might be swapped for debt to improve Cannon’s equity position. Intercorporation is a European firm in which Cannon’s top two officers each own 25% stakes.