Problemin an effort to take the firm private cox, Ask an Expert

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Problem:

In an effort to take the firm private, Cox Enterprises announced on August 3, 2004 a proposal to buy the remaining 38% of Cox Communications' shares that they did not currently own for $32 per share. Cox Enterprises stated that the increasingly competitive cable industry environment makes investment in the cable industry best done through a private company structure.

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Question: Why would the firm believe that increasing future levels of investment would be best done as a private company?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91167832

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