Spiegel Execs Buy Spiegel CatalogAnother former unit of bankrupt giant Spiegel has come under control of the same ownership group that took over Newport News last month.
Spiegel Catalog Holdings Corp. said yesterday that senior management, along with private equity investment firm Golden Gate Capital, San Francisco, acquired Spiegel Catalog and the brand name from Spiegel Inc.
The closing date was July 16.
This follows the news last month that Spiegel -- in exchange for $2 million in cash, $22 million worth of inventory commitments and $29.4 million in assumed liabilities -- sold the Spiegel Catalog business to Pangea Holdings Ltd.
That deal followed a $28.6 million bid in May by Pangea that was accepted for Spiegel's Newport News women's apparel business. Then, in June, word came that Newport News Holdings Corp. had acquired Newport News.
"Pangea, as a holding company, is not involved in the deal," Sonya Hartland told DM News at the time.
Hartland is the spokeswoman for both Spiegel Catalog Holdings Corp. and Newport News Holdings Corp.
"However, the three principals of Pangea are shareholders in Newport News Holdings Corp., which is a newly formed entity, along with senior management of Newport News and Golden Gate Capital," she said in June.
When asked yesterday about the Spiegel Catalog Holdings Corp. announcement, she described it as "similarly structured" to the Newport News deal.
"Pangea Holdings is no longer part of this transaction, but the three principals of Pangea Holdings are," she said yesterday.
Hartland identified the three as Christian Feuer, former marketing executive at Spiegel Catalog. The other two are Jordan Rosenberg and Nis Lorentzen. She provided no background for the two men and said terms of the deal announced yesterday were not being disclosed other than it involved the senior management of Spiegel catalog, the Pangea principals and Golden Gate Capital.
"Both businesses will be headquartered in New York and we will be looking for synergies between the two businesses, including areas that can be combined. It's too early to decide what those areas might be," she said yesterday. "Christian Feuer is the interim COO of both companies, and Geralynn Madonna remains president/CEO of both companies."
Spiegel catalog's distribution services will operate out of Hampton, VA.