PetSmart buyout to fetch $8.2 billion
Source: USA Today
John Waggoner
PetSmart is about to get a new owner, and this is no shelter rescue.
The pet products retailer is being acquired for about $8.2 billion in what would be the biggest private equity deal of 2014. For PetSmart's stockholders, the sale works out to $83 a share in cash.
The long-running bull market and resulting surge in stock prices has reduced the attractiveness of debt-backed private equity deals such as this. A group of investors that was led by BC Partners and included Longview Asset Management, which has a 9% stake in PetSmart, banded together to make this one happen.
Activists have been pushing for change at the company, where sales have been suffering as Amazon and other online competitors have been biting away at its market share. The stock suffered badly after a disappointing first-quarter earnings report.
FULL story at link.
Report: PetSmart to b e taken private
(Photo: MATT YORK, Associated Press)
Read more: http://www.usatoday.com/story/money/markets/2014/12/14/deal-takeover-petsmart-bc-partners-investor/20403859/
SoapBox
(18,791 posts)Well we can kiss this business good bye.
The Banksters will wring out every penny, sell the assets and properties and then file it for liquidation.
Too bad more Americans will be out of work.
project_bluebook
(411 posts)only now they wear $10,000 suits and do their work using the biggest casino ever, the stock market.
KT2000
(20,583 posts)That is what I have been saying - our economy is being run on mob "principles." The latest blackmail by Citigroup was most brazen - for all to see.
Javaman
(62,530 posts)has all the fingerprints of a bain capital type operation.
davidpdx
(22,000 posts)As you can imagine, overworked and underpaid. It will only get worse with the new masters.
blkmusclmachine
(16,149 posts)Demsrule86
(68,586 posts)Let the destruction and looting begin.