A year prior to my arrival, Ricardo had hired Goldman Sachs to oversee Elektra’s listing on the NYSE, but every time they negotiated a price per share, Goldman Sachs would come back a few days later saying that they were worth even less. They initially started off by agreeing to sell the stock for $27 per share but then got cold feet and renegotiated it at $25. Ricardo agreed to $25 even though it was lower than he would have liked, but then the day before the company went public, Goldman said that they only felt they would be able to sell the shares for $23 each, devaluing the entire company before it had been put on the market. Ricardo reached the end of his tether and pulled the deal.
To save face, Goldman Sachs beat Ricardo to the ...