Playboy Enterprises Inc. (NYSE: PLA) One Step Closer to Buyout

The special board committee of Playboy Enterprises Inc.

, formed in August to consider whether or not to accept Hugh Heffner's bid for the remaining outstanding shares of Playboy Enterprises, Inc. has retained the services of Raine Securities LLC as its financial advisors and Kaye Scholer LLP as its legal advisors, a move indicating this deal could be close to closing if approved.

Hefner had made an offer to buy out all common stock not held by him for $5.50 a share, valuing the iconic gentlemen's media outlet at $185M. In a statement, Hefner said private ownership "will reinvigorate the company and create a lasting legacy" for the bunny brand.

He also said "I believe this proposal is in the best interests of our company and its minority stockholders. The proposal provides an excellent opportunity for the minority stockholders of PEI to realize liquidity for their shares at a significant premium to market values. I believe the proposal will also reinvigorate the company I founded and create a lasting legacy for the Playboy brand, a brand we have all worked hard to establish as one of the most widely recognized and popular brands in the world."

Hefner owns 69.5% of its Class A shares Even though he owns only 33.7% of its Class B shares; Hefner has de-facto control of Playboy. Immediately after Hefner's offer, Playboys competitor FriendFinder Networks Inc., which owns explicit competitor Penthouse Magazine, upped Heff's bid by offering $6.25 per share, putting the value at $210M. FriendFinder's CEO Marc Bell said "Heffner's bid dramatically undervalues Playboy".

Heff was characteristically blunt about Penthouse's offer. In a post to Twitter, he said "My interest in taking Playboy private is prompting some crazy rumors. Playboy isn't in play. I'm buying, not selling."Penthouse's offer to buy the shares at a 13% premium will probably go unconsidered.

For more information visit http://www.worldmarketmedia.com/779/section.aspx/2346/post/playboy-enterprises-inc-nyse-pla-one-step-closer-to-buyout

Playboy Enterprises Inc. (NYSE: PLA) One Step Closer to Buyout

By: Ronald Russo

POST COMMENT

Don't Forgive - At Your OWN Peril! Rudy Soltesz w/Pro formance Realty steals leads Prime 10 Activities to Do in Colorado Spgs How To Better Understand Adult Flute Lessons Bay window curtains Wall Street 2: Bring Back the 80's!!! O PAPEL DO SUPERVISOR ESCOLAR E SUA AÇÃO PEDAGÓGICA NAS SÉRIES INICIAIS Three Elements Of Authentic Origin Jiemi Ejiao Practical Papers On Advices On How To Grab Non-expensive Ticket Rates Uncover the Best Wrinkle Cream For Face The Matthew McConaughey Workout - How does Matthew McConaughey workout? Is There a Brand in Your Stand? How to have more sex