ODP had a $11 billion Market cap in 2007..OMX should take
The reason that the lenders put the language into the agreements is that they do not want either ODP or OMX to buy their own stock. The reason is they want them to use available capital to run their business and borrow less. It is basic economics. When you are very profitable and the market does not value your stock that is the time to buy back your own stock with cash on hand which is not needed for day to day ops. In both of these cases they are borrowing for day to day ops such as LCs to purchase merchandise.
The reason the lenders prohibited them from merging or acquiring another company is that they do not believe that a merger of ODP and OMX is a good investment.
So, how easy do you think it would be for either company to just renegotiate their lending agreement???