When the leveraged buyout that carved Mervyn's out of retailer Target was consummated in 2004, Mervyn's brought 30,000 employees and 257 stores to the altar. The PE consortium brought $400 million in equity and borrowed another $800 million using Mervyn's real estate as collateral, all of which went to Mervyn's parent company, Target. The private equity group formed Mervyn's Holdings to operate the department store business, and transferred Mervyn's valuable real estate assets to MDS Realty. Mervyn's received no compensation for these assets and no residual interest in the property. <Read more>
Select from the list of EPRN topics below or go to the Topics Page for a more detailed list.