Another layoff means Robert Smith can thore another party in his new home somewhere in the world
And of course, do some fancy accounting to take it out of your pockets
The Dilbert Boss is just a pawn, but he gets 10
Mil to keep his trap shut
3 replies (most recent on top)
Vista has already taken their profits. CSG is a parking lot for entities who's remaining purpose is to service the debt that Vista paid itself from. If the business over performs it will use the leverage to borrow more money and pay it to Vista, or the over-performing business unit will be sold off to the next su---r. If it underperforms it will file for bankruptcy. Either way they have already gotten their money out at a profit.
In the short term the business needs to cut costs and milk the products long enough that the inevitable failure doesn't reflect poorly on Vista's new attempts to obtain underwriting.
CSG is Vista's new debt laundering outfit. If you had documents and recordings of all the conversations that led up to the transaction, you would find that it is literally organized crime.
One thing is certain though. Mr. Smith has no regrets here. Other people will be holding the bag.
Once the private equity vultures have finished with the decaying CSG carcass, there won't be any flesh left on the bones of the legacy software BUs that remain. What then?
It's hard for me to imagine that there's any significant profits to be made here. This whole exercise is likely to give Smith heartburn and regret from this debt-fueled deal gone bad.
Nothing new, it’s the corporate monster. Examine your loyalties and move on.
Show me, show me, show me how you do that trick, Mr Smith.