That's what they are supposed to do. In practice many of them borrow a bunch of money on the acquired company's credit and funnel it to themselves before sellin

That's what they are supposed to do. In practice many of them borrow a bunch of money on the acquired company's credit and funnel it to themselves before selling. It's kind of like the legal version of a "bust out" (as seen on "The Sopranos" and "Goodfellas" :)