With the Alltel acquisition by Texas Pacific Group for $26.3 billion underway, execs of the regional cellular carrier are reportedly taking their $2 billion payout and go home, to their very nice homes, according to Service Employees International Union found at behindthebuyouts.org.
A release issued by the watchdog group for responsible corporate governance practices says five of the company insiders and executives stand to walk away with a minimum of $31 million, and as much as $281 million if they leave the company when the deal closes due to “change of control” clauses in their contracts. The Alltel board members are in line to collect $1.975 billion for their 8 percent stake in the company.
Concerned shareholders are questioning whether the board and top-level executives acted in the shareholders’ best interests, and are filing suit with claims the deal was “grossly unfair” to shareholders, and the acquisition price was “far below the maximum value.”