A $325 million dividend recap of portfolio company Totes-Isotoner Corp. could be a welcome ray of sunshine for
The New York buyout shop floated the transaction in June, according to sister service Thomson Reuters LPC, which tracks the loan market. Lead bank Credit Suisse is pricing the loan at 525 basis points spread over Libor, LPC reported.
Although MidOcean also invests in industries including business and financial services, media and industrial services, the firm historically has focused its greatest attention on consumer and leisure companies, a segment that has suffered through the Great Recession.
MidOcean took its majority stake in Totes-Isotoner through a recapitalization in January 2007, according to sister news site peHUB, which reported at the time that existing Totes shareholders
The $325 million recap would be a boost to MidOcean’s troubled
One portfolio company, the struggling pizza chain Sbarro Inc., which MidOcean Partners acquired in January 2007, filed for bankruptcy protection in April and is reportedly in discussions with a strategic buyer, Buyouts reported in June.
Another holding, Penton Business Media Holdings Inc., which is backed by MidOcean and
MidOcean declined to comment for this story.