Samsonite sews up recap.

Byline: Vyvyan Tenorio and John Morris

After struggling to reach an accord with creditors on a restructuring for the better part of two years, luggage maker Samsonite Corp. late Thursday, May 1, announced a recapitalization, with $106 million in fresh equity from Ares Corporate Opportunities Fund LP, Bain Capital (Ruope) LLC and Teachers' Merchant Bank.

Ares and co-investors will purchase new convertible preferred stock representing 42% of the company's voting stock with an initial dividend rate of 8%. The proceeds will be used to repay bank debt.

Including their common stock holdings, the new investors will control 55% of the outstanding voting …