Source: Cygnus Deal ‘Will Get Done’ in ’08
Other players emerge in addition to Wasserstein.
While the U.S. economy saw some relief Monday with the Dow Jones up more than 900 points, the tightening credit markets have put the brakes on a number of big media deals, one being Wasserstein and Co.’s acquisition of Cygnus Business Media—which was said to have been set to close at the end of August.
According to a knowledgeable source, the acquisition talks are still alive but Wasserstein no longer is the only active bidder. While the source declined to say what other private equity players are now in the mix, he said he is “confident something will get done by the end of the year.”
Another source, who is knowledgeable in magazine M&A, says he isn’t surprised. “If their [Wasserstein’s] exclusivity ran out … then the bankers would try to bring in other players,” the source said. “Normally, the bankers go back to other bidders that expressed interest but dropped out at higher prices.”
A Cygnus spokesperson could not be immediately reached for comment.