Rowe Sells Assets to Sun Capital Affiliate
Rowe, the McLean furniture maker in bankruptcy protection, sold its assets to an affiliate of Sun Capital Partners, a private equity firm. U.S. Bankruptcy Judge Stephen S. Mitchell in Alexandria approved the sale of almost all of Rowe's assets, including its headquarters and factories, to the Sun affiliate for $31 million in cash and debt, according to court records.
MERGERS & ACQUISITIOnS
Executives of Tutoring Firm Head Its Purchase
Educate, a tutoring company based in Baltimore, said it had agreed to be acquired by an investment group led by two of its executives for $535 million in cash and debt. The deal is expected to close in the second quarter of this year.
Under the agreement, Educate, the manager of Sylvan Learning Centers, will be acquired by a group that includes Christopher Hoehn-Saric, Educate's chairman and chief executive, and Peter Cohen, its president and chief operating officer, along with other members of management and affiliates of Sterling Capital Partners and Citigroup Private Equity.
Interstate Hotels Sells Corporate Housing Unit
Sorrento Asset Management, a privately held Irish investment group, said it would buy BridgeStreet Worldwide, a corporate housing company, from independent hotel management company Interstate Hotels & Resorts for about $40.5 million.
Arlington-based Interstate said proceeds would be put into investments in hotel real estate acquisitions and joint ventures. BridgeStreet's management team will stay in Northern Virginia.
LaSalle Hotel Properties' Guidance Falls Short
LaSalle Hotel Properties, a real estate investment trust in Bethesda focused on hotels, issued full-year 2007 guidance below Wall Street's expectations. The company said it sees funds from operations (FFO) of $121.7 million to $124.9 million, or $3 to $3.08 per share. Analysts surveyed by Thomson Financial are forecasting 2007 FFO of $3.39 per share.
Hagerstown Woman's Death Linked to E. coli
More evidence has linked the death of a Hagerstown woman to last fall's spinach-borne E. coli outbreak. Health officials reported the Sept. 13, 2006, death of June Dunning, 86, of Hagerstown, as "suspicious," but because of a problem with tissue samples, it was never confirmed as part of the outbreak. Last week, after further testing, the Centers for Disease Control said in a letter forwarded to Dunning's family that E. coli found in an open bag of spinach taken from her home was "indistinguishable" from bacteria found in a bag from an Illinois victim "which also yielded the outbreak strain."
Compiled from reports by Washington Post staff writers, the Associated Press and Bloomberg News.