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  "documentTitle": "Stroer SE & Co. KGaA (SAX)",
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  "authorName": "Carson C. Block",
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  "presentationDate": "2016-04-21 00:00:00",
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  "notes": "The slide uses direct quotes from annual reports to highlight a potential governance issue regarding the valuation and payment structure of an acquisition.",
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      "text": "We consider the use of Ströer resources for the primary benefit of insiders to be improper, and we doubt there are many corporate governance experts in the world who would disagree with our view.",
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      "text": "The disclosure that Media Ventures paid €4.08 million for FreeXmedia conceals something important. The amount of cash Media Ventures paid for freeXmedia was much lower than the headline purchase price. The balance of the consideration appears to have been free advertising for freeXmedia's seller, freenet, on the Ströer network.",
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      "text": "The purchase price for the acquisition of shares in freeXmedia GmbH... totaled T€4,412. Of which in 2013, T€1,372 was spent on liquid assets. Already in 2012, an advance payment of T€524 was made... The remaining T€1,516 will be provided by payments and services in the year 2014.",
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      "text": "On December 4, 2012 the freenet.de GmbH... closed a contract with Media Ventures GmbH... selling all of its freeXmedia GmbH shares... purchase price of T€ 4,080 was agreed... T€ 2,000 payable until December 31, 2014 through offset with services from a media contract.",
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      "text": "On December 4, 2012 the freenet.de GmbH (whose sole shareholder is the company), closed a contract with Media Ventures GmbH, Cologne, selling all of its freeXmedia GmbH shares. This transaction was carried on January 1, 2013. For the sale, a purchase price of T€ 4,080 was agreed. The amount was split in T€ 2,080 thousand payable in cash and the remaining T€ 2,000 payable until December 31, 2014 through offset with services from a media contract, which freenet AG concluded with the buyer. — freenet's 2012 Annual Report",
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