Friday, April 03, 2009

Founder, Chairman, Major Shareholder, Consultant

Those are the roles that Jon Huntsman has filled at Huntsman Corp. It's this last role - consultant - that intrigues me. You see Huntsman received a"consulting fee" of $15,000,000 "for his negotiation of the settlement agreement" between his firm and Apollo Management, a private equity investor that had agreed to buy Huntsman. Presumably, Mr. Huntsman, who owned 23% of the company had a financial stake in the settlement. Also, I can't see where he forfeited his compensation as chairman during the negotiations. And the company's lawyers did enough work on the settlement to earn a fee of $43,000,000. So, what did Mr. Huntsman do to earn his consultant's fee?

2 comments:

Anonymous said...

HUNTSMAN DESERVES IT HE STARTED THIS COMPANY FROM THE GROUND UP. HE WAS SUPPOSED TO RECEIVE OVER 1 BILLION WHEN THE MERGER CLOSED. HE IS A GREAT MAN 15 MILLION IS NOTHING COMPARED TO THE 1 BILLION HE GOT CHEATED OUT OF.

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