Re:Yahoo Sale ‘Book’ Reveals Financial Meltdown and Big Bet ...
by sev on Friday April 08, 2016 @02:53PM
(#11456953)
> That would imply those inside the company are intentionally trying to lower its value
I wouldn't immediately throw that possibility out the window.
Re:Yahoo Sale ‘Book’ Reveals Financial Meltdown and Big Bet ...
by stygiansonic on Friday April 08, 2016 @03:17PM
(#11457124)
Indeed. At troubled companies, executive compensation (via severance package) is often tied to a successful sale of the firm, and this is the case with YHOO:
http://money.cnn.com/2015/12/07/technology/marissa-mayer-sev...
If getting the deal done is the only objective, exaggerating the direness of the situation might help shareholders get on board for a deal, perhaps out of fear. It also makes a lower price more palatable.
Of course, I have no details of what is actually going on, so what I've written could just be rampant speculation.
Based on your second sentence, I don't think you mean the word 'mismanaged' here. That would imply those inside the company are intentionally trying to lower its value.
I think what you mean is, potential buyers are bad-mouthing the company, or deliberately talking down it's value in public to try to get a better deal.
Edit: It occurred to me, this could have been a substitution error of 'mismanaged,' for 'misrepresented.'