Friday, July 13, 2007

Sallie deal may yet go ahead, but price could fall

(Reuters) - Sallie Mae said on Wednesday a group of private equity firms and banks threatened to scuttle their buyout of the company, blaming proposed legislation to cut government subsidies to student lenders.




The deal has a break-up fee of $900 million, but if the buyers could prove the legislation has a "material adverse impact" on the transaction, they would not have to pay the fee.


Read more at Reuters.com Bonds News

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