Amid rampant speculation over a potential deal involving mega investments in this relatively young and rising financial services firm coming undone, there was increased chatter about cracks in a longstanding friendship between the key principals of the transaction. The target company’s stock took a beating and the guessing game didn’t spare the CEO either. But it turns out that the deal is on track and a revised proposal will be presented to shareholders at the upcoming AGM at the end of the month. Some had previously rejected the plan because it conferred permanent decision-making rights on one of the two new investors besides calling for amendment of the articles of association. The word ‘permanent’ will be dropped and the articles will remain unchanged. Instead, a board seat on nomination basis is being proposed. The other members will be able to invite the investor’s solo representative to join key committees. With most regulatory approvals in place, save one, this much-needed capital boost should be able to sail through. You can bank on this one!
(For more on our weekly roundup of wackiest whispers and murmurs in corporate corridors & policy parlours, pick up today's edition of The Economic Times newspaper)
Suits & Sayings
(For more on our weekly roundup of wackiest whispers and murmurs in corporate corridors & policy parlours, pick up today's edition of The Economic Times newspaper)
