PE Deals

Sept 11 (Reuters) – Clear Channel Communications Inc late on Wednesday sold $228 million of eight-year senior notes in the 144a private placement market, said IFR, a Thomson Reuters publication.  The size of the deal was decreased from an originally planned $980 million.

NEW YORK (Reuters) – Washington Mutual Inc (WM.N) was downgraded to below investment-grade status by Moody’s Investors Service, after the largest U.S. savings and loan projected a $4.5 billion third-quarter increase in reserves for bad loans but said it has more than enough capital. Moody’s cut the Seattle-based thrift’s senior unsecured debt rating two notches […]

Linens ‘n Things could become the subject of a probe from a disgruntled bondholder, LBO Wire reported. Bondholder Levine Leitchtman Capital Partners is suspicious of Linens ‘n Things’ “quick demise” under the private equity ownership of Apollo Management. It’s true, Apollo only owned Linens around two and a half years before it went bankrupt. And it’s also true that there have been reports of strange management behavior at the company (but come on, it’s The Post…). Even so, this filing is significant for any PE firm facing a leveraged, unplanned disaster with potential for bankruptcy. The key word here is “unplanned.” If Levine Leitchtman’s probe is (a) granted and (b) fruitful, its bad news for private equity’s image and potentially, its deal flow. The probe follows a similar line of thinking as the Mervyns lawsuit from last week. (You might remember, bondholders accused its PE backers of basically sabotaging the company to make money on its real estate.)

Textron has agreed to sell its Fluid & Power division for $1 billion to UK engineering group Clyde Bowers, which is being sponsored on the deal by HarbourVest Partners and Pantheon Ventures. Leveraged financing has been committed by Bank of Scotland, Barclays, HSBC and RBS.

Evonik has agreed to sell its U.S. and Canadian cyanide activities to Oaktree Capital Management for an undisclosed amount. Publicly-traded Evonik recently received a €1.6 billion investment from CVC, while Oaktree recently agreed to buy Nevada Chemicals. www.oaktreecapital.com

Chevron Mining Inc. has agreed to sell its Mountain Pass rare earth mining operations to an acquisition company formed by Pegasus Partners, Goldman Sachs, Traxys North America and Carint Group. No financial terms were disclosed. The Englewood, Colo.-based company will be renamed Molycorp Minerals LLC. PRESS RELEASE Chevron Mining Inc. (“Chevron”) today announced that it […]

NEW YORK (Reuters) – McClatchy Co (MNI.N) Chief Executive Gary Pruitt’s resignation as a co-trustee of trusts held by the U.S. newspaper publisher’s controlling family should not be read as a prelude to the company going private or changing its capital structure, he said on Wednesday. Pruitt’s comments in a statement were a response to […]

Marwit Capital has sponsored a recapitalization of Granite Seed Co., a Lehi, Utah–based provider of conservation seed and erosion control solutions in the Western U.S. The deal was done in partnership with company founder Don Bermant, who will continue to serve as CEO.   PRESS RELEASE Marwit Capital Partners II, L.P. (“Marwit”) announced today that […]

HONG KONG – Provisional liquidators have been appointed for Hong Kong-based watch retailer Peace Mark (0304.HK), nearly a month after the firm suspended its shares and sought a “white knight” suitor to shore up its balance sheet. Peace Mark, which sells watches for brands including Rolex, Omega, Rado and Tissot, said on Sept. 3 it […]

Waud Capital Partners has acquired Reimbursement Management LLC, a Phoenix-based provider of provider of revenue cycle management services focused on Medicaid receivables. No financial terms were disclosed.