[whimsicalism]

No, I still actually do not follow, nor does this seem equivalent to what you said.

"sale_price < real_company_worth"

This statement in that conditional seems like it could never be true.

If sale_price == total_money_raised_owed, then real_company_worth <= total_money_raised_owed because sale_price = max(total_money_raised_owed, real_company_worth).

Therefore, inside the conditional, sale_price = total_money_raised_owed >= real_company_worth, therefore sale_price >= real_company_worth which is the opposite of sale_price < real_company_worth.

What am I missing? Perhaps you meant min?

[baldajan]

you're right that my math is wrong in regards to sale_price < real_company_worth - it should have been the other way around... (real_company_worth < sale_price)... I guess I needed more coffee...

max is correct though (whichever value is highest, that sets the base price).

[jrochkind1]

shareholders would rather lose only half of their investment then all of it. It's quite possible for a company to sell at a shareholder loss.

And of course, some sheareholders lost their stakes in this sale.

> Because the company’s obligations to its preferred shareholders exceeded the sale price, investors won’t be paid out in full, according to a document reviewed by Bloomberg.