It suggests that Messrs Shleifer and Hay worked with Mrs Shleifer and the now Mrs Hay to make investments in Russia that were prohibited under the terms of the contract.
Motivated by the growing literature studying the effects of stock market mispricing on firm behaviour (see for example Stein 1996, Shleifer and Vishny 2003, and Baker 2009), we develop a simple framework for thinking about how stock market mispricing can offset agency costs and induce controlling shareholders to raise outside equity.