Suits & Sayings: Infinite Loop

First the firm’s founders started bickering over the economics, delaying the much-hyped deal. Once that got settled, up popped a small shareholder, who sought a disproportionate reward for what he claimed was his due for his hands-on involvement, especially during the formative years. Those stuck in the middle have been wondering—if a private equity investor can claim a bigger slice of the prized pie for ‘services’ expected to be performed by default for portfolio companies, where will the gravy train stop? It’s been months of stalemate, several deadlines have got extended and frustration is mounting. Problem is, any logical but hard decision will be perceived as antagonistic and may trigger lawsuits from core team members. Clearly, dealing with dealmakers is tougher than one would think.


(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)