A winning private equity bid is typically the one with the most zeros after it, but every now and then specific deal terms also come into play. The only problem is that most target companies don’t really know if the specific terms are buyer-friendly, seller-friendly or straight down the middle. It’s old-fashioned ignorance, borne of […]
Dow Chemical Co. is downplaying buyout rumors, after a UK tabloid reported that KKR and several Middle Eastern investors are prepping a $50 billion bid. A company spokesman says that Dow has “no interest” in a leveraged buyout, because it believes it can provide the most shareholder value by remaining a public entity. Now there […]
Hey Canada: I’ll be on BNN’s SqueezePlay program this afternoon at 5:10 ET, for a conversation about the mega-LBO market. We’ll talk Dow Chemical, fund sizes and more…
Buyouts Magazine is reporting that Q1 2007 was the busiest quarter on record for leveraged buyouts, with 283 control-stage transactions at a disclosed value of $102.6 billion. The data includes only closed transactions that involve U.S. sponsors and/or U.S. targets. The same period last year saw 248 deals for a disclosed value of just $50.7 […]
Word just came that KKR has agreed to acquire credit card processing company First Data Corp. (NYSE: FDC) for approximately $29 billion. It would be the fifth-largest leveraged buyout in history, supplanting Harrah’s. See press release here: FirstData.pdf Under terms of the agreement, First Data shareholders would receive $34 per share, which is around a […]
Calera Capital and TPG today completed their $630 million buyout of Direct General Corp., a Nashville, Tenn.-based provider of insurance products via a network of retail storefronts. As part of the deal, former Cendant executive Dan Tarantin will take over as Direct General’s new CEO. So we’ve got 5 Questions for Dan, including how he […]
Organized labor is making itself heard in private equity quarters today. First, the United Auto Workers have rejected a new wage offer from Delphi Corp., General Motors and the private equity firms seeking to take Delphi out of bankruptcy. A UAW executive called the latest proposal “insulting,” and vows to strike if Delphi makes good on […]
Private equity has been the hot business story on Q1, with everything from Forbes cover stories to Newsweek columns to an upcoming feature on female PE pros in the inaugural issue of Conde Nast Portfolio. I’ve even covered it from time to time (i.e., Mondays through Fridays). But here’s a dirty little secret: Private equity […]
TA Associates today announced that it has acquired a minority stake in K2 Advisors, a $5.5 billion hedge fund-of-funds manager. So we’ve got 5 Questions for Roger Kafker, a TA managing director who will sit on the K2 board: 1. Could this deal be a precursor to TA Associates launching its own hedge fund products? Kafker: […]
Update: Shareholder lawsuits are commonplace in public-to-private buyouts, as someone is always convinced that they’re getting short shrift. But I don’t believe I’ve ever seen a buyout firm sue its acquisition target for choosing the other guy. But that’s what happened yesterday in Texas, when Apollo Management sued EGL Inc. (Nasdaq: EAGL) and its chairman […]