When Kohlberg Kravis Roberts leveraged Storer Broadcasting, Drexel created a payment-in-kind preferred as the juniorsecurity and insisted KKR give warrants to buy common stock as a sweetener.
What does seem unlikely is that a juniorsecurity guard would be able to record hundreds of hours of confidential conversations simply by placing a tape recorder under a sofa, which is what Mr Melnichenko claims to have done.