tag:blogger.com,1999:blog-4640470443420164863.post1800047739894829957..comments2024-03-26T10:26:51.288-04:00Comments on Jim Leff's Slog: Bubbles, Slogs, and Selling Out: Part 14Jim Leffhttp://www.blogger.com/profile/00007232702717055047noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-4640470443420164863.post-6424862928327021802009-11-06T14:21:39.723-05:002009-11-06T14:21:39.723-05:00Where's the rest of the story? Don't we ge...Where's the rest of the story? Don't we get to hear the ending? I thought I was going to be able to read it all in one shot, but that's obviously wrong. I DO hope you finish the tale, and soon. I'm dying of anticipation here.Carolina deWittehttps://www.blogger.com/profile/04356276329845892046noreply@blogger.comtag:blogger.com,1999:blog-4640470443420164863.post-19576536832799537042009-07-31T23:09:03.335-04:002009-07-31T23:09:03.335-04:00Joshi, while it's true the deal likely wouldn&...Joshi, while it's true the deal likely wouldn't have been undone even if we had skeletons in our closet, at least in the tech world (which is all I know), the DD process is often used the way a house inspection is....as a way to find excuses to chip away at the offer price. That was a real concern. Plus, we were locked down tightly during the process, in a wholly unilateral way. They could drop or alter their offer, but we couldn't look elsewhere. And given the timing, any stall could have pushed us past the window of opportunity re: this bubble. It's hard to know just where you're at, timing-wise, in a bubble, of course.<br /><br />Also, consider that our tech was about to explode (we'd disclosed this to CNET, but, still....). And our biz dev contact was looking more and more twitchy/paranoid. And we'd had a gazillion moments of great expectation for Chowhound over the years, so there was a lingering suspicion that Lucy would once again snatch away the football as we reluctantly went to kick it one more time. Even though they weren't likely to drop the offer, they were contractually free to do so, and could use any DD shortfall as excuse. That's how tech acquisitions are set-up. No kill fee for us, either.<br /><br />Due diligence was as airless and fraught as I reported.Jim Leffhttps://www.blogger.com/profile/00007232702717055047noreply@blogger.comtag:blogger.com,1999:blog-4640470443420164863.post-12431434930072183862009-07-31T22:33:16.074-04:002009-07-31T22:33:16.074-04:00i think you're over-estimating the power of th...i think you're over-estimating the power of the due diligence process. it performs the same function as that of a pre-marriage counselor: you are aware he snores? you know she is periodically cranky? etc. once lust/love sets in, the marriage is going to happen no matter what the pre-marriage counselor says, modulo the discovery of incurable disease, homicidal tendencies etc. <br /><br />believe it or not, every single financial structure responsible for todays havoc went through a process of due diligence.joshinoreply@blogger.com