In what is sure to be an interesting drama, Sirius XM Radio (SIRI) is attempting to put measures in place that would prohibit media mogul John Malone from taking control of the company. Malone’s loan and preferred stock acquisition in the depths of the financial crisis was one of the most lucrative during that period of enormous opportunity. For very little risk of a permanent loss of capital Malone was able to acquire a blue chip asset to add to his media empire. His worst case scenario was that he would effectively control the assets if the company were to go bankrupt, and if the company survived or thrived as it has, his preferred stock stake would be worth a fortune. Malone is an exceptional investor and has proven to be a great steward of capital for shareholders.
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