| Topic Name: |
MBO? |
| Message Name: |
Be honest! |
| Date Posted: |
01/16/2006 |
| In Reply To: |
So, many moons ago (I think 95?) ATK was bought out by a publicly held firm named EDS. During the late 90's this worked out fine since the economy was extremely strong and there was no problem with ATK turning a profit on EDS' books. Unfortunately as the economy turned south it became more and more difficult to turn a profit on an accounting basis. (I'm told more recently that ATK is in fact making money on a cash flow basis, but it does not show up that way on the books due to the arrangement with EDS in which they act more as a debt holder than as an equity holder).
So -- there was a mutual decision from ATK and EDS that it would be better to let the partners of the firm buy Kearney back. There was the original MBO proposal back in May/June that was overshadowed and tabled due to a potential buyout from Monitor Group. That went south, and now the MBO II is occuring. All the money is in place, and from what I have heard the hold up is due to technicalities of making sure everything transitions smoothly.
There has been some negativity (esp on these boards) which is understandable due to the uncertainty surrounding ATK's future. Some think the company will emerge stronger, some think the company will slide further downward and lose more solid leaders (unfortunately many have been lost due to the uncertainty).
Like I said, though, there are those that believe the company will emerge stronger. There are still many good leaders left at the firm, and those leaders have now invested a good chunk of their own money in the company. From my friends who are there (I was a summer and recently accepted my offer to return full time) the mood is beginning to become more positive.
Ultimately if I were you I would consider all of my options. If I were in your position, I would apply for an internship and go through the interview process. At the very least you will gain invaluable case interview experience. By the time offers are made things with the MBO should be far more clear and you can make an educated decision then.
Hope this helps. |
| Message: |
If I follow your messages, it is easy to see that you are no 06 grad(i.e. "I was a summer and recently accepted my offer to return full time").
The worst thing you can do is lie and pretend you are someone that you are not.
Nice try!
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