Stock options can sweeten M&A deals for CEOs

10/13/2009 | Wall Street Journal, The

Offering CEOs new stock options as part of a merger amounts to a form of legal bribery that can help move the process along, finance professor David Yermack says. But that's not necessarily bad, since the benefit can motivate an executive who may otherwise act in the interest of his own job. Yermack says such activity should be properly disclosed, however.

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Wall Street Journal, The

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