Distributor of tech products to go private
By TIMES WIRES
Published May 30, 2007
VERNON HILLS, Ill.
CDW Corp., a distributor of hardware, software and technology accessories, announced Tuesday it has agreed to be acquired by a private-equity company in a $7.3-billion deal. Under the agreement with Chicago's Madison Dearborn Partners LLC, CDW shareholders will receive $87.75 in cash for each share of common stock, CDW said. That's a 16.1 percent premium over the company's $75.56 closing share price. John A. Edwardson, CDW's chairman and chief executive officer, said that the buyout represents a new chapter for the company.
Record bid made for ABN Amro bank
ABN Amro received an industry-record takeover bid of $95.5-billion Tuesday from a group led by Royal Bank of Scotland PLC, but its shares fell as the Dutch bank's earlier decision to sell its U.S. arm to Bank of America still clouded prospects for a quick deal. The offer by the RBS-led consortium, about 10 percent higher than the bid on the table from Britain-based Barclays PLC, is contingent on the LaSalle sale not going forward, and also sets aside about $2.49-billion to pay potential claims or a settlement to Bank of America.
Privacy at issue in Google deal inquiry
The Federal Trade Commission will likely consider the privacy issues raised by Google Inc.'s proposed $3.1-billion acquisition of DoubleClick Inc. as part of its antitrust review of the transaction, analysts said Tuesday. Antitrust reviews generally focus on monopoly concerns, such as whether the combined company will be able to raise prices without fear of competition. But there is precedent for them to address privacy worries, analysts said. Soon after Google announced its plan April 13 to acquire DoubleClick, several consumer advocacy groups, led by the Electronic Privacy Information Center, urged the FTC to investigate the privacy implications of the transaction. The groups said in their April 20 complaint that the combined company would have access to an unprecedented amount of data on consumers' Web usage and Internet search habits.
Student loan rates to get small bump
Interest rates on most student loans will be going up July 1, but only by a fraction of a percentage point. If you've got a variable rate loan, the new rates for Stafford loans are 6.62 percent (in school or deferment) and 7.22 percent (out of school), while the rate for parental PLUS loans is 8.02 percent. The fixed rate at which new loans are issued will not change. It's 6.8 percent for Stafford loans and 8.5 percent for PLUS loans. Recent graduates will benefit by consolidating loans within six months of graduation.
T-bill rates mixed
Interest rates on short-term Treasury bills were mixed in Tuesday's auction. Rates on three-month bills declined, while rates on six-month bills rose to the highest level in a month. The Treasury Department auctioned $14-billion in three-month bills at a discount rate of 4.805 percent, down from 4.810 percent last week. An additional $15-billion in six-month bills was auctioned at a discount rate of 4.780 percent, up from 4.775 percent last week.
[Last modified May 29, 2007, 22:47:49]
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