Thread regarding athenahealth Inc. layoffs

A look into the future

I worked at two companies where Elliott came in. First they buy a lot of stock. Then they force layoffs to cut costs and improve earnings per share which they hope will increase the share price. Once the share price goes up enough they sell out and move on. This might take a couple of years. They might broker a deal to take the company private then they will milk the revenue stream. When it is private they will cut costs more to get more cash and then they might take it public again to cash out their stock. In any case it's not great for the employees.

Original poster is @PUR1W1J-oyz.

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Post ID: @PVxE8Pj

4 replies (most recent on top)

Maybe Paul Singer (Mr. Elliott) will get a fatal bout of explosive diarrhea or something...

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Post ID: @PVxE8Pj-gzjr

It may as well be Gordon Gekko. When that movie came out people were shocked. Now it's common place to have activist investors taking over companies and s---ing out the wealth.

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Post ID: @PVxE8Pj-1pih

Are you sure that's not Gordon Gekko you're describing?

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Post ID: @PVxE8Pj-bkb

Elliott will demand a seat on the board of directors so that they can control things. If management doesn't agree to what they want Elliott will threaten to remove them by doing a recall vote with shareholders. They ousted the CEOs at the two companies. They put in a CEO who does tbeir bidding. After that your business plan is all about making Elliott rich. Products, services, employees are all secondary to Elliott.

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Post ID: @PVxE8Pj-ycf

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