Wabash International Corp. (NYSE: WNC) has received a $35 million investment from Lincolnshire Management. Were Lincolnshire to exercise all the included warrants, the deal would give it a 44.2% ownership position. Wabash is a Lafayette, Ind.-based maker of semi-trailers for the North American market.
HONG KONG (Reuters) – U.S. private equity firm Bain Capital is in talks with Chinatrust (2891.TW) to launch a joint bid for AIG’s Taiwan insurance unit Nan Shan, a source with direct knowledge of the situation said on Tuesday. The move came after Taiwan regulators asked first-round bidders for Nan Shan Life including Bain to […]
The Internet is Dead (As An Investment): James Altucher can live all day on the internet, but he tells clients to "run for the hills" when investing in it. (DJ) Chronicling Facebook Without Facetime: A critical look at the new book "The Accidental Billionaires." Best moment in the book? When the readers learn that Zuckerberg's business cards say "I'm CEO - Bitch." (NYT) PE + Banks: In the South, Navigation Capital Partners and others are on the prowl for bank investments. (Atlanta Business Journal) PE-Backed Bust: Wilton Holdings, the maker of food decorating equipment, backed by GTCR, was forced into bankruptcy by a creditor owned by Towerbrook Capital. That's a recent deal which always confused me given the narrow, narrow narrow niche served by Wilton... (Reuters) 80s Revival: The Pac-Man bid (where a target turns around and makes a bid for its suitor) is back. (Reuters)
TORONTO (Reuters) – Bankrupt telecom equipment maker Nortel Networks (NRTLQ.PK), once one of the world’s biggest technology companies, said on Monday it has reached an agreement to sell its enterprise solutions unit, and was advancing in talks to sell its other businesses. Toronto-based Nortel, which is North America’s biggest maker of telephone equipment but has […]
Can you imagine Facebook investor Jim Breyer (Accel Partners) appearing in an advertisement for MySpace? How about Blackstone boss Steve Schwarzman, whose firm owns Hilton Hotels, promoting Marriott? Or George Steinbrenner calling to ask if you'd like to buy Red Sox season tickets? Of course not, because it doesn't make any sense. So what are we to make of Bono -- a partner with private equity firm Elevation Partners, which owns around 40% of Palm --shilling for Palm rival BlackBerry in a new television advertisement (view after jump)? Apologists would give a twofold argument: (1) Bono has smartly kept his many business interests separate, which means that U2 doesn't pay attention to Elevation, and vice versa; (2) BlackBerry maker RIM stepped up in a tough economy to sponsor U2's upcoming tour, and there is no indication that Palm made a similar offer. All well and good for Bono and U2, but lousy for Elevation's investors. This group backed Elevation, in part, after being told that Bono brought unparalleled expertise in the firm's target markets of consumer, entertainment and media. Not a hard sell, but also not a private one. In other words, the public at large also gives Bono that same credibility, and he's now leveraging it to hurt one of the firm's portfolio companies.
It seems private equity investors have finally listened to our endless harping--they're taking a stand against general partner impropriety. Today, two separate sets of limited partners (LPs) took action against their GPs: In Munich, buyout fund Nordwind Capital's investors blocked its deal for a fertility clinic roll-up play, claiming the deal is off-strategy. The firm decided to cancel the deal rather than force the resistant LPs into default (note: all of this happens back in February, but it only came out today). And, in the U.S., investors in two Citigroup infrastructure funds have voted to ban them from making future investments, citing a key man provision and several failed deals. These actions, while headline-grabbing, are just a piece of some of the behind-the-scenes LP uprisings. Cash-strapped or not, private equity investors are actually using this tough fundraising time to negotiate for better terms in their fund documents (LPAs).
NEW YORK (Reuters) – Harman International Industries Inc (HAR.N), a maker of high-end audio equipment, said on Monday it had not received a buyout offer from a private investment group, denying reports that had sent its shares up 33 percent earlier on Monday. Several media outlets on Sunday received a faxed statement that said a […]
The Lang Companies, a Delafield, Wisc.-based maker of stationary and related products, has filed for Chapter 11 bankruptcy protection. Catterton Partners acquired Lang in 2003, and holds more than a 90% equity position. www.lang.com
American Industrial Partners has completed its buyout of the motor home business of Fleetwood Enterprises Inc. (OTC BB: FLTWQ). The deal was valued at $33.2 million, including certain assumed liabilities. Greenhill & Co. ran the sale process. Fleetwood shareholders include Tennenbaum Capital Partners. Concurrent with the close, Fleetwood laid off 700 employees, but said that American Industrial is expected to make 650 hires over the next few weeks.
WILMINGTON, Del (Reuters) – Creditors of Wilton Holdings Inc, one of largest makers of equipment for decorating food, asked a court to put the company in Chapter 11 bankruptcy due to $208 million in debts, according to court documents. A New York affiliate of private equity firm TowerBrook Capital Partners filed the involuntary bankruptcy petition […]