The Wall Street Journal reported on the failure of a Russian steel firm to execute the $3.5 billion purchase of a Carlyle Group affiliate. The acquisition was announced days after Russia's army stormed over parts of neighboring Georgia.
While Vice President Cheney talked tough about an appropriate response, no one expected the buyout to tank. The Treasury did its part with CFIUS approval. Carlyle's employing their past Policy Chair couldn't have hurt. And how did Hank Paulson find the time to explore the deal with the credit crisis exploding in mid September? SuperHank approved, but the new Russian owner got cold feet. The closing date moved from September 29 to October 15.
The buyer didn't show to execute the paperwork, so Carlyle prepared some of their own, in the form of a lawsuit. Since the credit meltdown, over $10 billion in mergers failed. Watch to see if Cheney ratchets up that promised retaliation.
While Vice President Cheney talked tough about an appropriate response, no one expected the buyout to tank. The Treasury did its part with CFIUS approval. Carlyle's employing their past Policy Chair couldn't have hurt. And how did Hank Paulson find the time to explore the deal with the credit crisis exploding in mid September? SuperHank approved, but the new Russian owner got cold feet. The closing date moved from September 29 to October 15.
The buyer didn't show to execute the paperwork, so Carlyle prepared some of their own, in the form of a lawsuit. Since the credit meltdown, over $10 billion in mergers failed. Watch to see if Cheney ratchets up that promised retaliation.
