Executives snap up Lehman's Neuberger without cash
Executives snap up Lehman's Neuberger Berman in a management buyout without handing over any cash
Executives snap up Lehman's Neuberger Berman in a management buyout without handing over any cash
Neuberger
Berman executives have snapped up the Lehman Brothers-owned mutual fund
manager, estimated at a value of $5bn to $6bn six months ago, out of an auction
without handing over any cash.
In the deal, the executives will hold 51% of Neuberger and creditors agreed
to wait for a payoff through Neuberger’s future earnings. Creditors will own 93%
of a separate preferred stock issue currently valued at $875m (£591.5m), which
they expect to sell when market conditions improve, according to The Wall
Street Journal.
As late as yesterday, the Neuberger auction was in deep trouble after the
deadline had been extended twice and several private-equity firms, including the
Carlyle Group, had backed out and other private-equity firms Bain Capital and
Hellman & Friedman quit an agreed $2.15bn offer, signed in September.
But rather than a failed auction, which would have been a humiliating result
for Neuberger’s leaders, they gained a bargain.
Further reading:
KKR favourite in bid for Lehman Bros
Read
The Wall Street Journal story
The numbers you crunch tell a story. Your expertis...
15yEmbracing user-friendly AP systems can turn the tide, streamlining workflows, enhancing compliance, and opening doors to early payment discounts. Read...
View articleOrganisations can enhance their financial operations' efficiency, accuracy, and responsiveness by adopting platforms that offer them self-service cust...
View articleIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceDiscover how AP dashboards can transform your business by enhancing efficiency and accuracy in tracking key metrics, as revealed by the latest insight...
View articleBody Shop, Ted Baker, Farfetch, MatchesFashion and Wilko among latest retailer insolvencies. Number of businesses in trouble are the highest in five y...
View articleInsolvency statistics in the UK for the second quarter of 2023 were the highest since 2009 with 83% of them relating to small businesses Read More...
View articleThere were 6,342 recorded company insolvencies in Q2, reflecting a 9% increase compared to the number of insolvencies in Q1, and a 13% increase compar...
View articleThe survey paints a “brightening” picture of the global economy, according to the ACCA Read More...
View articleThe pandemic may have “distorted” some economic data Read More...
View articleAdvisory firms must offer a “more supportive” and holistic approach to clients amid the economic downturn Read More...
View articleHaving a clear plan and clean data to help optimise the use of scarce resources will be key for businesses Read More...
View articleThe Coronavirus Job Retention Scheme has supported millions of jobs amid the pandemic, but with the support measure set to end in September, how can a...
View article