Private Equityor public equity.
The main advantage of a private equity has always been difficult business decisions can be made away from the glare especially of the press. (Look at Airbus and the way the management has continually struggled to make decisions - so many interested parties are involved.
Also public companies have had trouble getting to tap into the enhanced returns that come from financial engineering and leverage. Remember Private Equity is mostly heavily leveraged.
What is scary as the fear of what next after - I mean are they not notorious for asset stripping? hence the term corporate vultures? Though again if we accuse them of short terministic goals I wonder is it not taking care of the short term ultimately ensure a successful long term outlook?
All this is being debated as KKR bids for Alliance Boots. Check this out:
Mr Pessina holds a 15 per cent stake and acts as the deputy chairman has ganged up with KKR to make the bid. He is the same guy who sold to the shareholders on the benefits of Alliance Unichem and boots merging. Now his jumping ship?
Ok lets see how he will convince us shall we or let the money do the talking!


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