Loan vs. purchase

Reader comment on: Sussman's Newspaper Deal

Submitted by Jerry Skurnik (United States), Mar 28, 2012 18:07

Isn't there a significant difference between a loan, which I assume Mr. Sussman expected to get paid back, with interest versus purchasing stock in a company?

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The Future of Capitalism replies:

Yes there is, which is why I thought it worth commenting upon that one deal was announced for public and potential alternative bidders to hear about, and a second deal, with as you put it accurately, "a significant difference," was the one that got made.

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