Goldman Targeting PE With Another Fund; Current Media Unplugs IPO Plans; Tech Mahindra Taking Majority of Satyam; Victims Push For Madoff Bankruptcy; Express Scripts Buys WellPoint Unit; Citi May Sell More Japan Assets; Oil Drops on Energy Agency Forecast
- Goldman Sachs Group Inc. (GS) created a $5.5 billion fund to purchase private-equity assets on the secondary market, Bloomberg reported. The GS Vintage Fund V - Goldman's fifth private-equity-targeting fund - will acquire portfolios ranging from $1 million to $1 billion.
- Citing "current market conditions," Current Media Inc., owner of youth-focused network Current TV, has withdrawn its plans for a $100 million initial public offering. "It's still early for a young company in this sector to be coming to market with a new issue at this point," David Joyce, an analyst at Miller Tabak & Co., told Reuters.
- India's Tech Mahindra Ltd. emerged as the highest bidder for scandal-plagued Satyam Computer Services Ltd. (ADR:SAY). Tech Manhindra, which is 31% owned by Britian's BT Group plc (ADR:BT), will pay $550 million for up to a 51% stake in Satyam, Reuters reported, giving the troubled IT company the chance to restore its profitability and reputation.
- Five investors filed an involuntary bankruptcy petition against Bernard Madoff to ensure that all of his assets are used to pay victims of his $65 billion Ponzi scheme. The petition against the convicted money manager was filed by five victims of the largest Ponzi scheme in U.S. history seeking to push Madoff into Chapter 7 bankruptcy. They hold $64 million in claims against Madoff, who pleaded guilty last month, Bloomberg reported.
- Express Scripts Inc. (ESRX), gained about 25 million new members yesterday (Monday) when it agreed to buy WellPoint Inc.'s (WLP), NetRx pharmacy-benefit management unit for $4.7 billion, Bloomberg reported. St. Louis-based Express Scripts, the third- largest manager of U.S. drug benefits, will pay with cash and as much as $1.4 billion in stock, the company said in a regulatory filing. The acquisition may add "slightly" to earnings this year, Express Scripts said.
- Citigroup Inc. (C), may be willing to sell its investment banking and asset management operations in Japan, in addition to retail operations previously put up for sale, Reuters reported, citing sources familiar with the matter. The retail brokerage, Nikko Cordial Securities, was put up for sale in February, drawing interest from Japan's top three banks.
- The International Energy Agency slashed its forecast for oil demand, knocking crude oil futures down $1.24 to below $51 a barrel on Monday. The prediction offset the impact of data showing Chinese crude imports rose to their second highest ever. The IEA said on Friday world oil demand would fall by 2.4 million barrels per day (bpd) this year compared with 2008 as fuel consumption dropped to levels last seen in the early 1980s.