How can Staples justify paying $6+ billion for Office Depot when the later only has a market capitalization of $2+bil. Doesn't add up to me.
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Both Smith and Sargent deserve to be fired, not rewarded. Failing upwards and rewarded for failure
Reminds me of my last company, Toys R Us.
John Eyler was the CEO of FAO Schwartz and had just received a huge retention bonus. He immediately splits for TRU and keeps the bonus. When FAO sues him, TRU pays the legal costs. Eyler then goes through and orders remodels on a ton of stores that had just been remodeled. Then eventually negotiates a Vernado buyout and he walks away with $70 million after shredding payroll in stores.
The truth is that we will never know the actual price that will be paid. The $6 billion price tag Staples and OD supposedly agreed on is simply the publicized number. It is meant to deceive so that the deal will be authorized. We will never no the actual price tag of this deal. But what we do know is that a handful of individuals will become much richer.
There is also the cost of giving severance to all the redundant positions / closed stores. And bribes.....which apparently did not work.