Cerberus Capital Management

History

Areas of focus

APX Operating Company, LLC

Cerberus Operations and Advisory Company LLC (COAC)

Transactions and initiatives

• On March 10, 2010, Cerberus entered into a financing deal with GeoEye in which the firm would provide the satellite imagery company funds of up to $215 million.
• In March 2010, Cerberus was the lead investor that gained an ownership stake in Panavision as part of a debt restructuring agreement with shareholder MacAndrews & Forbes, the holding company of billionaire Ronald Perelman.
• In March 2010, Cerberus agreed to buy New England's largest community-based healthcare system, the not-for-profit Caritas Christi Health Care, for $830 million, then withdrew its non-profit registration and changed its name to Steward Health Care that November.
• On April 12, 2010 Cerberus acquired private government services contractor DynCorp International for approximately $1 billion and the assumption of $500 million of debt.
• In June 2010, Cerberus agreed to sell Talecris to Spain's Grifols S.A. The transaction closed on June 1, 2011 at a value of $4.2 billion.
• On November 19, 2010, Cerberus and Drago Capital acquired a real estate portfolio of 97 bank branches from Spain's fourth largest financial group, Caja Madrid, in a 25-year leaseback transaction.
• On March 17, 2011, Cerberus acquired the senior bank debt and completed a debt restructuring of Maxim Office Park, a one million square foot office and logistics complex located between Glasgow and Edinburgh, Scotland.
• On March 31, 2011, Cerberus acquired a real estate portfolio consisting of 45 Metro Cash & Carry properties in Germany from the three major shareholders of Metro AG.
• On May 16, 2011, Cerberus completed the acquisition of Silverleaf Resorts, for $2.50 in cash per share.
• On May 16, 2011, an affiliate of Cerberus agreed to acquire the U.S.-based global billing and payments unit of 3i Infotech Ltd. for $137 million.
• On October 4, 2011, Cerberus and Garanti Securities announced the formation of a joint initiative to pursue investments in Turkey with an initial commitment of $400 million.
• On October 19, 2011 J.P. Morgan Worldwide Securities Services announced that it was selected by Cerberus to provide fund administration and related securities services for Cerberus's investment funds.
• On October 27, 2011 Cerberus and Chatham Lodging Trust closed their purchase of Innkeepers USA Trust for $1.02 billion. Innkeepers operates hotels, including the Marriott, Hyatt, Hilton, and other brands.
• On December 22, 2011, Covis Pharma, a specialty pharmaceutical company owned by affiliates of Cerberus, announced that it had agreed to acquire full commercial rights for Fortaz, Zinacef, Lanoxin, Parnate, and Zantac injection in the United States and Puerto Rico from GlaxoSmithKline.
• On January 18, 2012, RG Steel, LLC announced that affiliates of Cerberus committed new capital to the company.
• On March 8, 2012, an affiliate of Cerberus closed its acquisition of a controlling interest in AT&T Advertising Solutions and AT&T Interactive, which were combined into a new entity YP Holdings LLC. AT&T received approximately $750 million in cash, a $200 million note and a 47-percent equity interest in YP Holdings LLC. David Krantz, former CEO and president of AT&T Interactive, was named CEO of YP.
• On May 31, 2012, Cerberus completed the sale of textile company Guilford Mills to Lear Corporation.
• On December 18, 2012, the company began divesting its assets in Remington Outdoor Company, formerly Freedom Group. As of September 24, 2013, they had not sold any of the Remington Outdoor Company.
• In January 2013, it announced a deal to acquire 877 stores in the Albertsons, Acme, Jewel-Osco, Shaw's, and Star Market chains from SuperValu for $100 million and assumption of $3.2 billion of SuperValu debt.
• September 16, 2013, Cerberus closed Accurate Metal Solutions. Over 400 employees were laid off.
• On March 6, 2014, Cerberus announced a definitive merger agreement with already owned Albertsons and Safeway.
• On November 13, 2015, Cerberus agreed a deal to buy £13 billion of subprime mortgages from UK Asset Resolution.
• On December 17, 2015, Cerberus announced a $605 million strategic partnership with Avon Products, Inc.. According to terms of the agreement, Cerberus will buy 80% of Avon North America. In addition, the investment will result in a nearly 17% stake in Avon Products, Inc.
• On January 26, 2016, Keane, a well completion services company owned by Cerberus, agreed to acquire the majority of Canada-based Trican Well Services Ltd.'s U.S. assets for $247 million.
• On May 27, 2016, Cerberus sold its 57% stake in Blue Bird Corporation, an independent designer and manufacturer of school buses, to an affiliate of American Securities.
• On June 23, 2016, General Electric announced a sale of its consumer finance business, GE Money Bank, to an affiliate of Cerberus.
• On July 1, 2016, Cerberus acquired auto parts supplier ABC Group.
• On December 7, 2016, Staples, Inc. and Cerberus announced they had entered into an agreement in relation to the sale of a controlling interest in Staples' European operations to a Cerberus affiliate.
• In February 2018, Cerberus acquired HSH Nordbank.
• In October 2019, Cerberus acquired Stratolaunch Systems, an aerospace company formed by Microsoft co-founder Paul G. Allen in 2011 that has built the world's largest airplane : the Stratolaunch After the acquisition, Stratolaunch is now focusing on offering high-speed flight test services.''
• In March 2020, Cerberus faced backlash after threatening to close the unprofitable Easton Hospital in Lehigh Valley, Pennsylvania, amid the coronavirus pandemic.

  Additional involvements—by sector

• Pharmaceuticals—In December 2004, the company announced the acquisition of Bayer's plasma products business and renamed it Talecris Biotherapeutics. It purchased Talecris for $83m, and sold the bulk of its shares in October 2009, for a net gain of $1.8bn.
• Paper products—The company acquired MeadWestvaco's paper business for $2.3B in 2005 and renamed it NewPage. Cerberus also purchased, from Georgia Pacific Corporation, its Distribution Division/Building Products and all of its associated real estate. It renamed this new company BlueLinx Holdings, based in Atlanta.
• Aviation The Portuguese company TAP Portugal was bought by a consortium that included David Neeleman and Humberto Pedrosa.
• Government services —In addition to owning DynCorp International, Cerberus owns IAP Worldwide Services, which bought Johnson Controls' World Services division in February 2005. Previously owned Multimax.
• Real estate—Through investment affiliate Cerberus Real Estate, the company has been making direct equity, mezzanine, first mortgage, distressed and special situation investments in all asset types. Cerberus also has a minority stake in Miami Beach-based LNR Property, a large real estate development and investment firm through subsidiary Riley Property. In October 2015 Cerberus completed an acquisition from Building and Land Technology of a portfolio of single family rental homes to be managed by its affiliated company, FirstKey Homes, LLC; there are currently more than 6,000 homes in the portfolio.
• Retail—Cerberus purchased 655 of the 2,500 Albertson's, Inc., grocery stores, forming Albertsons LLC of Boise, Idaho, in June 2006. They also had an ownership stake in the now-bankrupt Mervyn's department stores, which was acquired from Target Corp. In May 2012, Cerberus sold its holdings in Torex Retail Holdings, Ltd., a Dunstable, England-based provider of information technology systems for the retail, fuel and convenience stores and pub markets in the United Kingdom and Continental Europe that was acquired in June 2007, to MICROS Systems, Inc. In January 2013, it announced a deal to acquire 877 stores in the Albertson's, Acme, Shaw’s and Star Market chains from SuperValu for $100 million and acquisition of $3.2 billion on SuperValu debt. In February 2014, it was reported that Safeway Inc was in advanced talks with private equity firm Cerberus Capital Management LP over a leveraged buyout deal..
• Transportation—Acquired bankrupt ANC Rental, then owner of the National and Alamo car rental chains, for $230 million in October 2003 and subsequently sold to Enterprise Rent-a-Car in 2007. Purchased DaimlerChrysler's 45% share of debis AirFinance, an aircraft leasing business, in May 2005. Acquisition of debis AirFinance was completed in July 2005. AerCap completed its IPO in 2006. Cerberus also acquired North American Bus Industries, Optima Bus Corporation, and Blue Bird Corp. in the bus manufacturing sector.
• Automotive—Peguform, GDX Automotive, and Chrysler.
• Staffing services—Advantage Hire Thinking.
• Financial services—Cerberus acquired 51 percent of GMAC, General Motors' finance arm, in 2006 for $7.4 billion. It appointed Ezra Merkin as nonexecutive Chairman.
• Firearms—Acquired Bushmaster Firearms International, from Windham, Maine native Dick Dyke for an undisclosed sum in April 2006, and purchased Remington Arms in April 2007. Under Cerberus direction, Bushmaster Firearms acquired Cobb Manufacturing, a manufacturer of large-caliber tactical rifles in August 2007. Cerberus also acquired DPMS Panther Arms December 14, 2007. Remington Arms acquired Marlin Firearms in January 2008. In October 2009, Remington Military products acquired silencer manufacturer Advanced Armament Corporation. These companies were combined into the Remington Outdoor Company. Cerberus made plans to sell its share in the Remington Outdoor Company on December 18, 2012, after the Bushmaster AR-15 was used in the Sandy Hook Elementary School shooting. This decision was made due to a threat by the board of the California state teachers' pension plan, which owns a stake in the company, to dispose of stakes it holds in any firearms manufacturer that makes weapons banned by California state law. In March 2014, Cerberus rejected a $1 billion buyout offer for Remington Outdoor Company. And thereafter was unable to find a satisfactory buyer. Cerberus continued to have ownership in Remington Outdoor Company, and CalSTRS announced its divestment from Cerberus' gun holdings in June 2015. In March 2018, Freedom Group, now known as Remington Outdoor Company sought chapter 11 bankruptcy protection.
• Entertainment—Acquired a group of seven television stations, Four Points Media Group, from CBS Corporation in 2007. On September 8, 2011, Cerberus announced the sale of these same seven stations to the Sinclair Broadcast Group for $200 million; this sale was completed on January 1, 2012. Spyglass Entertainment, an American film and production company, is also owned by Cerberus.
• In 2007, Cerberus bought Corvest a promotional products company based in Largo, Florida with branches in Simi Valley, California & Thorofare, New Jersey.
• In 2007, Cerberus sold a holding in Formica, Inc.

  Broken deal for United Rentals