The Daily Deal articles from July 2004

The Daily Deal archives from July 2004

Omni Facilities all clear on DIP.
July 1, 2004... Byline: Paul Burton Landscaping and cleaning concern Omni Facility Services Inc. received final approval Wednesday, June 30, for $5.3 million in debtor-in-possession financing from Heller Financial Inc. The official committee of...

International Wire hearing delayed.
July 1, 2004... Byline: Jonathan Berke The disclosure statement hearing of International Wire Group Inc. has been continued until Thursday, July 8, but the St. Louis wiremaker appears on track to win approval. Judge Burton Lifland of the U.S....

Involuntary Ch. 11 fells Orbit.
July 1, 2004... Byline: Erik Moser Orbit Brands Corp. is returning to earth, thanks to a lawsuit from a former employee and an involuntary Chapter 11 petition filed by three creditors. The petition, lodged at the U.S. Bankruptcy Court for the Central...

KPMG to remain MCI auditor.
July 1, 2004... Byline: Chris Nolter After calling a motion presented by 14 state taxing authorities a "litigation tactic," a New York judge Wednesday, June 30, denied the states' request to disqualify KPMG LLP as the accountant, auditor and tax...

Hog farm cancels auction.
July 1, 2004... Byline: Terry Brennan The disappointing auction for one of the largest hog farms in the U.S. could shine a national spotlight on a controversial Nebraska law meant to curtail large corporate ownership of such operations. An auction set...

GST pays Calif. taxes.
July 1, 2004... Byline: Paul Burton GST Telecommunications Inc. has settled California's $9.2 million claim for unpaid taxes from the sale of its assets to Time Warner Telecom Inc., the Vancouver, Wash., company said in a Form 8-K it filed with the U.S....

Chi-Chi's settlement okayed.
July 1, 2004... Byline: Greg Johnson Chi-Chi's Inc. has won approval to pay $2.18 million to customers at an eatery in Beavers Falls, Pa., who were sickened in October 2003 after eating Mexican green onions contaminated by hepatitis A. Two diners...

Nursing homes to use $10M DIP.
July 1, 2004... Byline: Renata Schloss An operator of seven nursing homes in Connecticut that declared bankruptcy amid a dispute with the union that represents its healthcare workers at its Hartford facility will have a $10 million debtor-in-possession...

Durango wins extension of injunction.
July 1, 2004... Byline: Terry Brennan Mexican papermaker Corp. Durango SA de CV won court approval Wednesday, June 30, on its motion to keep its U.S. creditors at bay for another seven weeks. Judge Robert Drain in U.S. Bankruptcy Court for the...

Versace control changes hands.
July 1, 2004... Byline: Heather O'Brian in Milan The balance of power at Italian fashion house Gianni Versace SpA underwent a seismic shift Wednesday, June 30, after Gianni Versace's niece turned 18, taking legal control of the 50% stake she inherited...

Branson set to float Virgin Mobile.
July 1, 2004... Byline: Brian Cattell in London British entrepreneur Richard Branson is set to take his Virgin Mobile business to the stock market this summer, making it the third major European telecom offering this year after a long drought in the...

Web minnow plans IPO.
July 1, 2004... Byline: David Shabelman Google Inc.'s initial public offering too rich for your blood? Have we got a deal for you. Interchange Corp., which provides pay-per-click and local Internet search services through its epilot.com unit, said...

Mixed day in IPO land.
July 1, 2004... Byline: Brenon Daly On the final -- and busy -- day of the second quarter, two companies had strong IPO debuts Wednesday, June 29, another three laid out terms on their expected offerings and one backed off immediate plans to hit the...

IPO outlook: July 1, 2004.
July 1, 2004... Byline: Peter Moreira Life Time Fitness Eden Prairie, Minn.-based gym chain Life Time Fitness Inc. priced its 9.9 million-share initial public offering at $18.50 on Wednesday, near the top of its $17 to $19 price range. In a...

IPO outlook: July 01, 2004.
July 1, 2004... Byline: Peter Moreira by Peter Moreira Life Time Fitness Eden Prairie, Minn.-based gym chain Life Time Fitness Inc. priced its 9.9 million-share initial public offering at $18.50 on Wednesday, near the top of its $17 to $19 price...

Antitrust pact boosts Cephalon deal.
July 1, 2004... Byline: Jaret Seiberg in Washington Cephalon Inc. said Wednesday, June 30, that it has reached an agreement with antitrust enforcers at the Federal Trade Commission to secure clearance for its $515 million acquisition of Cima Labs Inc. ...

SEC to vote on hedge fund role.
July 1, 2004... Byline: Ron Orol in Washington The Securities and Exchange Commission is expected to vote in mid-July on whether to introduce a controversial proposal requiring that hedge fund managers register with the agency as investment advisers,...

J.P. Morgan execs hit with suit.
July 1, 2004... Byline: Heidi Moore Class-action law firm Milberg Weiss Bershad Hynes & Schulman has filed a shareholder suit against the directors of J.P. Morgan Chase & Co. for an errant comment executives made in an interview with the New York Times....

In play: July 01, 2004.
July 1, 2004... Byline: edited by Greg Johnson edited by Greg Johnson Laurel Pub abandons Yates deal Laurel Pub Co. Ltd. has pulled out of the bidding for Yates Group plc, clearing Global Innovation Partners to proceed with a deal. After...

New & noteworthy: July 01, 2004.
July 1, 2004... Byline: edited by Greg Johnson edited by Greg Johnson Nestle sheds cocoa unit Focusing on its brand-name foods, Nestle SA said Wednesday it will sell its European cocoa processing division to Cargill Inc. Terms of the deal were...

CVRD to bid for Noranda.
July 1, 2004... Byline: Michael Kepp in Rio de Janeiro The main shareholders of Brazilian iron ore producer Cia. Vale do Rio Doce have approved a bid for Brascan Corp.'s controlling stake in Canadian miner Noranda Inc. as part of CVRD's goal to become a...

Goldman bankers on the move.
July 1, 2004... Byline: Heidi Moore Three top Goldman Sachs & Co. bankers are joining other firms, according to sources. Two are going to rival firms, and one is following his clients into private equity. The three are former Goldman partner Eduardo...

Caisse gets Gaz Metro.
July 1, 2004... Byline: Laura King in Toronto A consortium led by Quebec's giant pension fund, the Caisse de depot et placement du Quebec, is buying control of natural gas distributor Gaz Metro LP in a C$900 million ($669.6 million) deal.The companies...

Ratings Review: June 30, 2004.
July 1, 2004... Byline: Gerald C. Magpily Credit rating agencies were not enthused by Magellan Midstream Holdings LP's $492.4 million acquisition of a Shell Oil Products U.S. 2,000-mile pipeline system that moves petroleum products in the southern U.S....

Mariner Health Care sells for $1B.
July 1, 2004... Byline: Tara Croft National Senior Care Inc. plans to purchase long-term care facility operator Mariner Health Care Inc. for $1 billion, including $385 million in debt, Mariner said Tuesday, June 29. The $30 per share offer represents...

Kmart store sales raise more cash.
July 1, 2004... Byline: Jonathan Berke Kmart Holding Corp. has now raised nearly $1 billion in cash in one month thanks to a new $620 million deal to sell 54 stores to Sears, Roebuck and Co. On June 4, Kmart announced it sold 24 stores to Home Depot...

Oracle defends middleware.
July 1, 2004... Byline: Olaf de Senerpont Domis in San Francisco Oracle Corp. took a new approach Wednesday, June 30, to defend its $7.7 billion hostile tender for PeopleSoft Inc., arguing that so-called middleware platforms enable companies to create...

Proxy advisory service flip flops.
July 1, 2004... Byline: Laura King in Toronto The battle for Canadian miners Wheaton River Minerals Ltd. and Iamgold Corp. took a strange twist Wednesday, June 30, as a proxy advisory service switched its recommendation for the third time. Both...

M&A in Brief: June 30, 2004.
July 1, 2004... Byline: compiled by TheDeal.com news staff Entravision buys radio station Santa Monica, Calif., Spanish-language broadcast company Entravision Communications Corp. said Wednesday it acquired radio station KBMB-FM, which serves...

Barney's makes itself available.
July 1, 2004... Byline: Brenon Daly Barneys New York said Wednesday, June 30, that it has retained two investment banks to look into selling the upscale clothing retailer. The New York-based company tapped Morgan Stanley and Peter J. Solomon, a...

Movers & shakers: July 1, 2004.
July 1, 2004... Byline: compiled by Lisa Camerlengo Sources tell Movers that Robert Wolf, global head of fixed income at UBS Investment Bank, has been promoted to chief operating officer of the investment bank and president of UBS Securities LLC, effective...

VC Sector Watch: Networking hardware & software.
July 1, 2004... Byline: George White Summertime usually marks a slow period for venture capital fundings, with dealflow sometimes slowing to a crawl, however the networking hardware and software sector may be bucking that trend as it enters the summer on...

KKR drives away with ATU.
July 1, 2004... Byline: Jonathan Braude in London In a rebound after scuttling flotation plans just last month, Doughty Hanson & Co. has agreed to sell its German automotive parts retailer and service center operator, ATU Auto-Teile-Unger Holding AG, to...

ABN Amro's ins and outs.
July 1, 2004... Byline: Renee Cordes in Brussels ABN Amro Capital, the private equity arm of Dutch financial services group ABN Amro, on Wednesday, June 30, announced its first Finnish investment and its first successful Spanish exit as it steps up its...

Apollo expects high IPO return.
July 1, 2004... Byline: David Carey Education services provider Educate Inc. set a projected price range of $14 to $16 a share for its planned initial public offering, a valuation that would earn Apollo Management LP, its controlling stockholder, a rich...

Kotura lands $11M first round.
July 1, 2004... Byline: Paul Bonanos Optical chip systems developer Kotura Inc. has turned to longtime supporter ComVentures for its first round of venture funding since the company's formation through a merger last fall. ComVentures, a Palo Alto,...

RelayHealth lands key $10M.
July 1, 2004... Byline: Clifford Carlsen After opting for an inside deal in its fifth round of venture capital last July, medical e-mail specialist RelayHealth Corp. landed Conning Capital Partners as lead investor in a new $10 million round that is...

DealFlow: July 01, 2004.
July 1, 2004... Byline: compiled by George White compiled by George White Computer hardware and software ReShape Chip-level design automation company ReShape Inc. of Mountain View, Calif., has closed a $12 million Series C round, that...

Sure Fit exclusivity extended.
July 2, 2004... Byline: Erik Moser Trying to keep another plan from slipping between the sheets, furniture and slipcover maker Sure Fit Inc. has won an extension of its exclusivity period. Judge Burton R. Lifland in the U.S. Bankruptcy Court for the...

Golf Club files 2nd reorg.
July 2, 2004... Byline: Renata Schloss Golf Club of New England Inc. has submitted a second amended reorganization plan and arranged for a July 26 vote on it. Under the plan, senior secured creditor SoftDraw Investments LLC would receive all of the...

GlobalNet unit files for bankruptcy.
July 2, 2004... Byline: Chris Nolter International telecom wholesaler GlobalNet Corp. of Aventura, Fla., said Thursday, July 1, that one of its subsidiaries, GlobalNet International LLC, has filed for Chapter 11 protection. The unit supplies...

Adelphia wins exit loan OK.
July 2, 2004... Byline: Jonathan Berke Adelphia Communications Corp. on Thursday, July 1, won final approval on its $8.8 billion exit financing package. Last week, Judge Robert Gerber of the U.S. Bankruptcy Court for the Southern District of New York...

Kaiser finally sheds Alpart stake.
July 2, 2004... Byline: Greg Johnson Kaiser Aluminum & Chemical Corp. said Thursday, July 2, it has completed the sale of its Alpart alumina refinery in Jamaica to the Hydro Aluminium AS unit of Norwegian utility Norsk Hydro AS for $315 million. ...

Layoff roundup: July 1, 2004.
July 2, 2004... Byline: David Ehrlich Initial jobless claims in the U.S. were up unexpectedly last week, rising by 1,000 to 351,000 from last week's revised 350,000, the Labor Department said on Thursday, July 1. It's the second week in a row that filings...

Ross leads Horizon auction.
July 5, 2004... Byline: Soma Biswas Horizon Natural Resources Co. has won conditional approval for its disclosure statement. The Ashland, Ky., producer of steam coal plans to re-submit a modified disclosure statement which Judge William Howard in U.S....

Air Canada-Cerebus deal approved.
July 5, 2004... Byline: Laura King in Toronto The Ontario Superior Court has approved Air Canada's deal with Cerberus Capital Management LLP under which the New York-based private equity firm will invest C$250 million ($188.9 million) in the carrier in...

Furnas County Farms sold.
July 5, 2004... Byline: Terry Brennan A group of Nebraska hog farmers on Friday, July 2, won approval to buy Furnas County Farms out of bankruptcy for about $57 million in cash. Judge Timothy Mahoney in U.S. Bankruptcy Court for the District of...

Cornerstone unsecureds to probe deal.
July 5, 2004... Byline: Jonathan Berke A New York judge is allowing the unsecured creditors of Cornerstone Propane Partners LP to try to determine if the company made a $20 million payment when it was too financially vulnerable, an approach that they...

Centis liquidates after asset sale.
July 5, 2004... Byline: Erik Moser Even though the unsecured creditors of bankrupt Centis Inc. recovered less than 10% of their claims, their conduct impressed the California judge who recently gave final approval for the office-products maker's...

Sale of RBX plant now in doubt.
July 5, 2004... Byline: Greg Johnson Sedo Chemicals Neophrene GmbH, a German laminator of chloroprene rubber, known as neophrene, could back out of a deal to buy a shuttered RBX Corp. plant in Bedford, Va., after a bankruptcy court refused to allow RBX to...

DB sets auction of stores.
July 5, 2004... Byline: Renata Schloss DB Cos. has announced the dates to auction off its 149 convenience stores in Massachusetts, Rhode Island, Connecticut and New York. It will auction 86 of the stores, which also have gas stations, on Aug. 25, and...

Fair Grounds wins more time.
July 5, 2004... Byline: Erik Moser The bankruptcy case of racetrack owner Fair Grounds Corp. is on the backstretch. Last week's hearing to approve bidding proceedings for an auction of the New Orleans Fair Grounds' racetrack has been continued, but...

Judge stalls Parmalat's creditors.
July 5, 2004... Byline: Terry Brennan Parmalat Finanziaria SpA won the right Friday, July 2, to stall creditors from moving against the U.S. assets of 22 of its bankrupt affiliates for two months. Judge Robert Drain of the U.S. Bankruptcy Court for...

Seitel reorg plan is in effect.
July 5, 2004... Byline: Jonathan Berke Seitel Inc. said its reorganization plan took effect Friday. The Houston supplier of seismic data to oil explorers completed a $193 million private placement of 11.75% senior notes due 2011. The notes were...

Tale of two supermarkets.
July 5, 2004... Byline: Lisa Clifford in London At first glance, British grocery giants J Sainsbury plc and Wm Morrison Supermarkets plc have little in common beyond some of the products on their shelves. Struggling Sainsbury, a perpetual takeover...

A.B. Dick's solvency questioned.
July 5, 2004... Byline: Shanon D. Murray A.B. Dick Co. said it couldn't confirm whether the printing equipment maker is likely to file for bankruptcy, as its biggest unsecured creditor insisted in court papers. "We are committed to taking whatever...

LG Card hunts for more money.
July 5, 2004... Byline: Roger du Mars in Seoul LG Card is looking for another $1 billion to $2 billion. In January, South Korea's largest credit card company got a $4.1 billion bailout from state-run Korea Development Bank and 16 other creditors. ...

IPO outlook: July 6, 2004.
July 5, 2004... Byline: David Shabelman Kanbay International Information technology company Kanbay International Inc. on Friday set an estimated price range of $13 to $15 per share for its 7.15 million share initial public offering. The Rosemont,...

Black sues Hollinger International.
July 5, 2004... Byline: Richard Morgan The suit filed by Hollinger Inc., the holding company controlled by Conrad Black, was met with skepticism Friday, July 2, as investors noted the court had already addressed its key complaint. Hollinger -- holder...

France Telecom, Vivendi at odds.
July 5, 2004... Byline: Brian Cattell in London Efforts to merge and then sell the cable operations of France Telecom SA and Vivendi Universal SA are foundering amid disputes between the two companies over valuations and method of sale, sources said. ...

Citi, Merrill plan RE funds.
July 5, 2004... Byline: Jonathan Berke and Heidi Moore Raising real estate funds is all the rage on Wall Street this summer. Citigroup Inc. recently hired veteran real estate executive Joseph Azrack to head a new real estate fundraising effort, while...

Woolworths, Mathieson in pub talks.
July 5, 2004... Byline: Josey Puliyenthuruthel Woolworths Ltd., Australia's largest grocer, and Melbourne-based entrepreneur Bruce Mathieson have teamed up for a takeover raid potentially worth A$1.05 billion ($741.03 million) on pubs owner Australian...

Deal creates new U.K. asset manager.
July 5, 2004... Byline: Laura Board in London Friends Provident plc has agreed to take control of a fund management unit of Eureko BV of the Netherlands via a complex stock swap that will give the U.K. financial services group increased clout in...

Fairvest recommends Iamgold-Wheaton.
July 5, 2004... Byline: Laura King in Toronto Shareholder advisory service Fairvest Corp. recommended Friday, July 2, that shareholders in Iamgold Corp. vote in favor of a C$2.9 billion ($2.2 billion) merger with Wheaton River Minerals Ltd. even though it...

Wireless: No summer holiday.
July 5, 2004... Byline: Chris Nolter With billions of dollars worth of licenses marked for sale and a full regulatory calendar, summer will be anything but lazy for the U.S. telecommunications industry. Companies that want to bid for spectrum in six...

Unfazed Green forges ahead.
July 5, 2004... Byline: Lisa Clifford in London Marks and Spencer Group plc predator Philip Green on Friday, July 2, requested a meeting with the trustees of the company's pension scheme, underlining his continued interest in the retailer that has twice...

Deals of the Week: July 5, 2004.
July 5, 2004... Byline: Gerald C. Magpily Fireworks were set off on the M&A scene of the pharmaceutical and health care sectors last week as the top two domestic deals of the week hailed from those industries. Charles River Laboratories International...

MTS to pay Bell Canada $56M.
July 5, 2004... Byline: Laura King in Toronto Phone company Manitoba Telecom Services Inc. said Friday, July 2, it has agreed to pay rival and former strategic partner Bell Canada C$75 million ($56 million) to settle a lawsuit over MTS' recent C$1.7...

Movers & shakers: July 6, 2004.
July 5, 2004... Byline: compiled by Lisa Camerlengo Eduardo Mestre will give up the chairmanship of investment banking at Citigroup Global Markets Inc. starting in September, Citigroup confirmed. Mestre, known for his telecom expertise, will still advise...

Note to readers.
July 5, 2004... Byline: The Deal It's summertime and the reading is easy. The next issue of The Deal newsweekly will appear on July 12 and then biweekly through Labor Day. For continuous coverage, see The Daily Deal and TheDeal.com, which will adhere to...

Finnish PE dealmaking takes off.
July 5, 2004... Byline: Jonathan Braude in London The pace of private equity dealings in Finland soared last week as three separate deals culminated involving buyers Nordic Capital, 3i Group plc and ABN Amro Private Equity. On Friday, July 2, Helsinki...

Jury splits in Forstmann case.
July 5, 2004... Byline: Vyvyan Tenorio A verdict was announced in Connecticut v. Forstmann Little & Co. Both sides claim they won. So who lost? A Connecticut jury determined last week that New York private equity firm Forstmann Little & Co. willfully...

LGV loses wing, closes new fund.
July 5, 2004... Byline: Jonathan Braude in London The French team at Legal & General Ventures broke away from its parent this week to form an independent business focused on the French mid-market. The announcement by Paris partners Christophe Fercocq...

Madison Dearborn shopping Carrols.
July 5, 2004... Byline: David Carey Carrols Holdings Corp., which bills itself as the world's largest Burger King franchisee, hopes to auction itself off for a price of more than $500 million, according to sources familiar with the company. Sources...

Mississippi turning?
July 5, 2004... Byline: Douglas McCollam When I was growing up in Louisiana in the early 1980s, it perennially ranked near the bottom of national surveys on everything from quality of life to education to business climate. In those days when such poor...

What's hot: July 6, 2004.
July 5, 2004... Byline: Matthew Wurtzel Dealflow continued its predictable summer slowdown in the week ending Friday, in the run up the extended July 4th holiday. Venture capital firms invested $288.7 million in 28 startups, down 9% from the prior...

IPO outlook: July 06, 2004.
July 6, 2004... Byline: David Shabelman by David Shabelman Kanbay International Information technology company Kanbay International Inc. on Friday set an estimated price range of $13 to $15 per share for its 7.15 million share initial public...

In play: July 06, 2004.
July 6, 2004... Byline: edited by Greg Johnson edited by Greg Johnson LG Card hunts for more money LG Card is looking for another $1 billion to $2 billion. In January, South Korea's largest credit card company got a $4.1 billion bailout from...

New & noteworthy: July 06, 2004.
July 6, 2004... Byline: edited by Greg Johnson edited by Greg Johnson ACS buys out Safemark Systems Bethesda, Md., private equity firm American Capital Strategies Ltd. is investing another $31 million from its Richards Capital Fund LP into its...

Wembley bid partner walks.
July 6, 2004... Byline: Lisa Clifford in London BLB Investors LLC Monday, July 5 abandoned its [pounds sterling]309 million ($554 million) takeover plan for Wembley plc, citing uncertainty at the British gambling and leisure group's Rhode Island business....

Hicks Muse to list UK pet supplier.
July 6, 2004... Byline: Brian Cattell in London U.K. food supplier Premier Foods, owned by U.S. private equity shop Hicks, Muse, Tate & Furst Inc., announced Monday, July 5, that it will proceed with an initial public offering on the London Stock Exchange...

Carlyle, Meggitt carve up Dunlop Standard.
July 6, 2004... Byline: Jonathan Braude in London London private equity shop Doughty Hanson & Co. said Monday, July 5, it will make 2.5 times its initial equity investment on the sale of Canada's Dunlop Standard Aerospace Group to Carlyle Group and U.K....

Alchemy spins gold from real estate.
July 6, 2004... Byline: Jonathan Braude in London British private equity house Alchemy Partners on Monday said it has agreed to sell its Four Seasons Health Care Group to Munich-based Allianz Capital Partners for [pounds sterling]775 million ($1.42...

Montagu buys KKR company.
July 6, 2004... Byline: Andrew Bulkeley in Berlin New York private equity shop Kohlberg Kravis Roberts on Monday, July 5, said it sold a German car part maker to rival Montagu Private Equity as it begins to unravel seven units of German conglomerate...