This deal, if it passes, represents a victory for the Agents (Managers) over the Owners. Agents prefer bigger companies (even at the cost of reducing return on equity) because it justifies higher salaries for them.
The clues were there if we chose to look. The CEO has too much power and is paid an exhorbitant salary. The Board dishes out in the money options.
Tread carefully
This deal, if it passes, represents a victory for the Agents...
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