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Mailbag: To Short or Not to Short

Q: What happens to my shares (or convertible note) in a startup if it gets bought out?
A: If you have shares in the startup, they will convert into…

Cash if the buyout is a cash deal
Common or preferred shares of the buyout company if the startup is bought out via shares
A combination of cash and shares if the buyout is done through cash and shares.

If the buying company is listed on a public exchange, you can immediately sell those shares and cash out. But if it’s a startup with privately held (and illiquid) shares, you’ll have to hold on to them …read more […]

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ESG and Mission-Critical Issues for Director & Officer Liability

By Jonathan Drimmer, Paul Hastings, and Yousuf Aftab, Enodo Rights & Atelier Aftab Amidst a spirited debate around the duties of directors in relation to environmental, social, and governance (ESG) risks, two recent decisions from Delaware courts provide clarifying contours. The decisions are particularly significant since Delaware is the leading state for corporate law and […] …read more […]

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Halliburton lays off 70 employees at Bakersfield plant in California

Halliburton Co is laying off employees at its Bakersfield plant in California in its latest round of job cuts this year, as the U.S. oilfield services firm struggles with falling profits amid slowing oil and gas activity. The layoffs are expected to impact about 70 employees at the plant, the company said in a filing with California authorities. Halliburton said the move was in addition to job cuts at other plants. …read more […]