• jeffw@lemmy.worldOPM
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    6 months ago

    That’s… kinda the point of this article? It literally says the decline started when private equity acquired them

    • disguy_ovahea@lemmy.world
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      6 months ago

      Yes, but the article makes it seem like their failure was based on mistakes. This was exactly what they intended.

      A private equity firm bought them to naked short the stock, while running the business into the ground, so they never have to replace the holdings they never borrowed in the first place. It’s the same as what investors tried to do with GameStop before r/wallstreetbets caught on and held them out of bankruptcy. It’s called predatory naked shorting.

      • booly
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        6 months ago

        A private equity firm bought them to naked short the stock

        You just like throwing around words regardless of meaning?

        They owned equity, so they were long, not short. They owned a stake so they weren’t naked.

        What they did was a simple extraction of value from something they owned, destroying it. It has nothing to do with short selling, and has nothing to do with manipulation of stock trading (after all, they took it private so that it wouldn’t be publicly traded, so there were no public traders to manipulate).

    • Lost_My_Mind@lemmy.world
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      6 months ago

      Shhhhhhhhhh, we read headlines. Not articles. And we need the headline to be presented on tiktok, with overlaying captions which are only one one at a time, but big enough to cover the whole screen. Also, throw in half a dozen unrelated things, like birds dancing, and some guy skate boarding. All for no reason. This is how things are now.