So the company receives $5M in cash.. that's a positive, right? Is everyone in agreement here? $5M received! Give anyone $5M and you can be sure they'll take it.
Ok, option 1.. shall they just keep $5M in the bank (probably at low interest rates), continue to pay interest on debt.. but 'hey, don't spend it, let's log into internet banking and see the $5M bank balance again'
Or, pay down debt, and use remaining money to advance projects, so they can get more revenue over 10 years and (more deals) in the future..
hhmmm.. some people (eg. people on HC, and not CEOs of public companies) might choose option 1..
I'll take option 2 thanks..
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