3 ms·
If top executives in a public company are primarily judged on maximizing shareholder value these guys are some of the best of all time. They successfully sold
by CPLX 4y ago
If top executives in a public company are primarily judged on maximizing shareholder value these guys are some of the best of all time.
They successfully sold a multi-billion dollar tech company for a premium at the absolute height of the market, ending up getting shareholders something like 5x the market value as of the closing date.
I’m not a fan of golden parachutes and excessive executive compensation in general, but if there’s ever an exception these guys are it. They successfully transferred tens of billions of dollars in cash from the richest guy in the world into shareholders pockets.
- pmoriarty 4y ago"They successfully transferred tens of billions of dollars in cash from the richest guy in the world into shareholders pockets." Was it done because of them or in spite of them?
- gabrielhidasy 4y agoThey were also very likely big shareholders, potentially earning more from the deal then the parachute, so... Both?
- CPLX 4y agoThat part is in the article too.
- rchaud 4y agoThey went to court to ensure the deal went through after the buyer got cold feet too late. It definitely wasn't in spite of them.
- TheLoafOfBread 4y agoI agree. Those guys played ol' Musky lake a fiddle.
- moralestapia 4y agoNo way at all. Musk played itself. Have you been paying any attention to this? They were pretty much forced to sell at the beginning.
- TheLoafOfBread 4y agoThey wanted to avoid the deal at first, then shareholders told them to continue in the deal and sell it to Musk. So they did exactly what shareholders wanted them to do. Musk did not wanted to buy Twitter at all, he wanted to liquidate his stock without crashing stock price of Tesla. In the end Tesla crashed and he was forced to buy Twitter for absurd price.
- CPLX 4y agoI mean we’re all guessing here on motivation. But I think he did want to buy it and realized pretty quick that he had overbid.
- more_corn 4y agoIf he wanted to back out of the deal he wouldn’t have insisted on an absurdly airtight offer. It was ironclad, no way out. No lawyer would have allowed it unless the client insisted. If he had wanted a way to back out all he would have needed to do is set back and let his lawyers do what lawyers do when crafting the offer. Instead he insisted on an offer that will be taught in law school as the canonical ironclad offer. I can’t believe he though he’d be backing out when he made that offer. The man is unhinged but not a moron.
- me_me_me 4y agoMusk wanted to sell Tesla shares after promising he will never do that. He needed an excuse that will not cause already overvalued tesla stock to crash. He will need money because of a trail he is in. He thought he could get away with cashing out tesla, paying fine and riding hype train of saving twitter. Well that train hit the wall it seems. And he is stuck with twitter