PE Firms Resubmit Springer Bids

(Reuters) – Buyout firms TPG Capital, EQT Partners and a consortium of The Carlyle Group and Providence Equity Partners have resubmitted their offers for a minority stake in Springer Science and Business Media, three people familiar with the matter said.

Candover (CDI.L) and Cinven, owners of the German academic publisher, asked for the resubmission because second-round offers for up to 49 percent of the business fell short of their original 500 million euro ($702.4 million) price target.

A banker working on the financing of the deal said bids had been submitted over 400 million euros. Prior to resubmission, banking sources said bids ranged from 350 million to 380 million euros.

Springer was formed in 2003 when Candover and Cinven merged BertelsmannSpringer with Kluwer Academic Publishing. The two private equity firms took advantage of hot debt markets to recapitalize the company and pay themselves dividends in 2004, 2006 and 2007.

Springer could not be reached immediately for comment.

By Victoria Howley and Zaida Espana
(Editing by Elaine Hardcastle)