> company value going down as long as they make money, which they do, because they, like the private equity firms, are effectively transferring value from the company accounts into their accounts.
But the PE firm owns the company. Why shouldn't it transfer money from the company accounts to its own accounts? That's called "paying a dividend".
Maybe it should, maybe it shouldn't, I don't see how that has any bearing on the factuality of the description.
If we're on the same page there, then we can build off that shared understanding, and perhaps discuss issues like whether that's a net loss or net gain to society as a whole, or to specific individual stakeholders, and what so-and-so should or shouldn't do. That's if were on the same page on the above matter, first.
Do you feel we are? Recall this digression started because a couple people were confused how banks were involved in the matter, and thought the banks were losing money somehow. They definitely aren't. I just want to make sure we're all on the same page there, first, is all.
But the PE firm owns the company. Why shouldn't it transfer money from the company accounts to its own accounts? That's called "paying a dividend".