The CEO is the person trying to buy it so they are the ones setting the price. The board has no confidence in the company and wants to get what little compensation they can get for it so they are taking the low ball offer after getting the cold shoulder at their test price. It’s not a good look but also not a good place to be.
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wahming@monyet.cc 3 months ago
They offered $1.50 in Nov, got rejected, then came back in Feb and successfully bought the company at $0.50? Man, that’s some negotiation skills. Either that or the board should be fired.
ChicoSuave@lemmy.world 3 months ago
applebusch@lemmy.world 3 months ago
The first offer wasn’t rejected, they didn’t have the money on hand at the time. Between the first offer and the second they got investor funding together and the cash on hand dwindled, so the second offer was with cash to cover the offer and some to cover running the business between acceptance and closing. After the second offer the board released a statement saying it’s this or liquidate the company, so they went with this because it’s the best outcome for everyone with the current state of things.