HKBear97! said:
CNHTH said:
The optics of a reagan library "super star" buying a hipster coffee company like Philz Coffee and cancelling all employee stock options with No Consideration which were worth around 50 million; and then less than a month later donating 50 million dollars to a Junior University football team are ummmm yeah pretty bad.
Interesting. Don't see anything online discussing the worth of the stock options. From what it sounds like the firm was heavily indebted so the $145 mm investment from the firm/fund (not him personally) basically paid off the debt meaning the equity was worthless anyway. Do you know more details on the transaction?
Honestly I'm just assuming it's shady because it's a furdy…but no seriously it's a furdy sooo it's most likely shady. And their was probably roofalin involved as well.
Anyway, being a former lover of Philz I did follow this a few months back and what's weird is that they cancelled the common stock, as opposed to declaring it worthless which from where I'm sitting just exposed them legally.
And from what I've heard the number of former employees that held common stock ranges anywhere from a dozen or so people to 100 with the amount originally invested being anywhere from 10k to over 100k per.
The interesting thing here is that the defense of the equity group claim is that Philz was near bankruptcy and in massive debt thus making the common stock worthless after debt obligations and p stock…
The problem for them is that's not true because the debt and p stock didn't total to the 145mm purchase price and furthermore they didn't declare common stock worthless.
They cancelled it.
Which from my vantage point tells me they are counting on nobody bringing suit against them because the amount to be gained is less than the legal fees. Which implies maybe the number of former employees really is just 10 or so; or maybe it's more in which case they could be in seriously deep legal doo doo if the former employees get class certification.
